Dive Brief:
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Investors paying cash for homes have been backing away from the market since July, dragging sales of existing homes down by 1.8% in August after four months of gains.
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A National Association of Realtors’ report shows all-cash sales at their lowest level since December 2009.
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Even without the loss of cash-up-front buyers, the report says, home buying would be in a slump, as interest among would-be homeowners has waned.
Dive Insight:
Less activity by investors means more opportunities for others—those who finance their purchases—to buy homes, the NAR report notes. Without competition from buyers who can afford to engage in bidding wars, first-time buyers have a better chance at finding available homes for sale.