Lawrence Yun, Chief Economist for the National Association of Realtors, was just on Lou Dobbs tonight discussing the fact that the Inventory of homes available on the market is at a 13 year low and the prices are steadily climbing. In a nutshell, the Investment firms are buying low and rehabbing for the flip. This is …why we need to get the NPPG Registrations underway. Just tonight I was contacted by a gentleman whom is a VERY heavy hitter in the rehab industry. He keyed to the fact that NPPG will eventually be able to provide a clearinghouse of Contractors in a One Stop Shop mode.
Even if you do not understand the math, all you need to understand is that the foreclosures are simply shifting from the REO/P&P market over into the renovation and rehab market.