Cash buyers gobbling up homes

Investment firms are rapidly becoming a major force in the housing resale market. In a market where there are more buyers than homes to purchase, these investment firms pay top dollar, close quickly, and grab many of the nicer homes. The Tampa Tribune reports that over a 6 day period in February,
American Homes for Rent purchased 19 homes, T-H-R Florida bought 21 homes, and Tropics Investment Group purchased 5 homes. Homes particularly attractive to these corporate cash buyers are in the $100-$200,000 range which can be rented a very respectable returns. For the individual home buyer coming up against these cash buyers, it can be a very frustrating experience when they lose out to them because the seller "prefers cash".