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Is Wall Street Building Steam for the Next Real Estate Bubble?

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Mortgage Professional America | 23 Apr 2013, 02:36 PM Agree 0
Warren Buffet really opened up a can of worms when he made the statement in the Spring of 2012 that he would buy "a couple hundred thousand" single family homes and hold them for a long time, at low mortgage rates. The moment that statement came from his lips, every hedge fund in the Country decided they were going to get into the business of single-family homes, and they certainly have!
  • J Buzzard | | 02 May 2013, 11:05 AM Agree 0
    My thoughts are that residential homes should remain a point of family investment, pride, and be local in character. Now here comes hedge funds and large corporations trying to use their corporate leverage, wealth, and greed to corner the lower price and distressed single-home properties in good markets thus making it very hard for individuals and families to make these purchases.

    Is there no end to their efforts to unfairly, in my opinion, adversely wield and manipulate a market, and now it is the real estate market.
  • CoreyD | | 03 May 2013, 10:21 AM Agree 0
    I agree. It seems their unscrupulous greed has no end. The hedge funds are essentially just "sheep" following the "pastor", e.g. Warren Buffet. They think they're so smart because they followed his glorious advice. Will be interesting to see how it all plays out....
  • T McErvale | | 04 May 2013, 03:03 AM Agree 0
    J. Buzzard - Were it not for investors, those people that cannot save for a downpayment, who have bad credit, or have inconsistent income (or any other of many reasons they may not qualify for a mortgage), would have nowhere to live. So investors serve an incredible purpose in the community. Why you think investors should be restricted from investing at a time when interest rates are historically low, and property values are historically low is beyond me - your thoughts are incredibly one sided. Because someone is getting wealthy does not mean other people are losing.
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