S&D V: Increase in Real Estate Investor Demand

Another factor aiding the Demand side for real estate has been the influx of units being purchased as a 2 nd home or as a Rental Property. While this has been a significant proportion of transactions in many hot markets(25% of all Arizona home loans in 2004 were for 2 nd homes or Investment Properties), it is fueled by the first 2 factors described in this series, low interest rates and more flexible financing options.

Believe it or not, but our site's featured advertiser for Residential loans, Charter Funding, now offers $0 Down Investor loans for the first time in American history. This enables both new and experienced investors the opportunity to finance investment real estate with no down payment. They now also offer this loan program with No Income Verification which goes a long way since many who desire investing are self-employed. With these types of super-flexible financing solutions becoming available to the mainstream, Investors will continue to account for a solid portion of home sales, thereby adding more fuel to the overall Demand Mix.