‘Greedy investors’ snapping up U.S. housing

Interesting how they call investors “greedy”. Who else is going to buy these properties?

Financial Post | Business

That added firepower helps explain why home prices in this metropolitan area of 2 million people are up 30% over a year ago, far more than the national average of 10%

LAS VEGAS — Michael Marchillo, a plumber, has been trying and failing for months to buy a bigger home for his family here in Sin City. He was pre-qualified by a bank for a US$130,000 mortgage, which a year ago would have landed a typical three-bedroom home in the area. No more. Now, the 36-year-old says, it’s hard to compete with “greedy investors” who come to the table flush with cash for quick deals.

Mr. Marchillo is on to something. The once-beleaguered Las Vegas housing market has been on fire since investment firms led by Blackstone Group LP, Colony Capital and American Homes 4 Rent began buying homes here some eight months ago, backed by US$8-billion in investor cash…

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~ by Llew Quinol on May 4, 2013.

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