Real estate investors are driving the nation’s housing recovery. Over the past year, home buyers acquiring rental properties have made up a third or more of home sales, depending on the market. And that’s not even counting investors that are buying properties to fix up and sell. Whether they’re planning to hold on to their properties for the short-term or long-term, these two types of investors are having a profound impact on a number of industries.
The remodeling industry, for example, is projected to have another great year, reflecting the fact that many investors are buying properties in need of repair. That’s a higher rate of remodeling than in past housing recoveries. Whether they are investing in distressed properties or not, investors are pouring money into their purchases.
Landscaping and painting service industries are another beneficiary of real estate investors. Revenue at floor covering stores also is expected to increase again this year. Property management firms also are benefiting as some investors hand over management of rentals to third parties.