HOUSINGNEWS REPORT
SPOTLIGHT: MEMPHIS
Investors Purchasing All Homes Tighter inventory caused in part by investor activity in Memphis is creating challenges for own-occupant buyers as well, according to Realtor Melba Jones. “We’re running into issues of not finding them a home or taking longer to find a home, or going further out of the market to buy because we don’t have the supply,” Jones said.
the income approach,” Speed explained. “The repairs have to be done. So a passive investor now owns a house that he owns himself and depending on the price will determine whether he gets a loan or not.” Tightening Inventory for Turnkeys While a lot of the turnkey providers tend to look at the older housing stock, institutional investors like the hedge funds are only interested in the W newest areas. “Hedge funds cherry-pick at a particular price point. They have very specific areas they want to invest in. They don’t want stock that is 50 years old. They don’t want lead paint issues,” Kirkland said.
from Australia, New Zealand, China, Singapore, Japan and England, Kirkland realizes that the turnkey providers are selling product at a price point that’s at the top of the market, generally higher than what local investors would pay for similar product. “The market has gotten tight for turnkey providers. Several of the local providers have branched out to other cities like Little Rock and Dallas because of lack of inventory,” he said.
We’re running into issues of not finding them a home or taking longer to find a home, or going further out of the market to buy because we don’t have the supply... The investors are purchasing all the homes.” MELBA JONES REALTOR, CORDOVA, TENNESSEE
Having represented buyers from out of state as well as foreign buyers
MEMPHIS MEDIAN SALES PRICES
YOY PCT CHANGE IN MEDIAN PRICES
MEDIAN SALES PRICE
$140,000
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$0
20
JULY 2017 | ATTOM DATA SOLUTIONS
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