Waiting kinda hinted at a speculation that deep pocketed investors may be hording real estate. I remember someone posted that they were contacted about giving advice on a bulk purchase of 100 REO’s by an investment group. How are they trying to make money? A big discount from the bank and then flip them individually? Hold and rent and then sell? Artifically increase demand pricing by a reduction in supply? (DeBeers style)? I dont really think this is happening, but their is a lot of speculation about it floating around.
I guess what I am asking is what is the big investor’s play. If we knew that, we could examine the numbers and see if this hoarding waitingtobuy mentions is real or not. (IE, 100 former REO’s hit the market the same week in spring.)
