Update from the Foreclosure-Based Economy 0
Buy cheap, rent high: Bloomberg reports that foreclosures are the new tulips (emphasis added).
Investors bought about 66,780 homes in August, the highest since the beginning of the foreclosure crisis, according to Bloomberg calculations based on National Association of Realtors data. Photographer: Matthew Staver/Bloomberg
“It’s an income stream for us, and when it’s time, we’ll sell it and make more money than we could from our 401K,” said Haisley, 49, who rents out the property for $900 a month for an annual return of more than 20 percent, excluding appreciation. “There’s nowhere for prices to go but up, so it seemed like a pretty safe bet.”
“Nowhere for prices to go but up . . . .”