Investors have played a key role in driving the housing recovery, but their contribution also has come at a cost: more competition for first-time homebuyers. Housing observers have been well aware of this side effect, but a new report brings the diverging fortunes of these two types of homebuyers into sharp focus.
- The share of U.S. homes purchased by investors recently hit its highest level in at least 21 years, according to Attom Data Solutions.
- Demand from investors has driven the recovery, but the resulting competition and price growth has adversely impacted first-time homebuyers.
- '"[F]uture growth in the housing market will continue to be largely in the laps of landlords," a new report says.