SpringView Investments Why Invest Now

Why Invest Now

Many single family homes have fallen significantly from pre-2006
levels, presenting a unique investment opportunity. 

Single family home prices nationally have fallen by nearly one-third from peak 2006 prices. This price drop has created opportunities for investors, particularly in Chicago, to purchase properties below their fair value. At the same time, rental demand for single family homes has increased, and new construction has fallen below historical norms. 

pringView Investments Renter Demographics

Renter
Demographics

Fannie Mae Survey

1.  82% believed that renting has been a positive experience.

 

2. 74% thought it would be more difficult to get a mortgage than 12 months ago.

 

3.  74% believed that home rental was physically safer than multi-family renting.

 

4.  44% thought rental prices would increase the next year.

 

5.  29% reported that credit issues were the biggest obstacle to getting a mortgage loan.

 

6.  27% thought they would always be renters.

 

7.  18% had five or members in their household.

pringView Investments Renter Demand

Renter Demand

Why Single Family Home Renting Has Increased:

1.  Greater challenge in getting financing with lower credit scores, more bankruptcies.

 

2.  Lower upfront costs than now-increasing down payment requirements on a house.

 

3.  Greater flexibility for renters expecting to relocate for a new job.

 

4.  Less stress than home ownership.

 

5.  Better financial control because owners pay for home repairs.  

 

 

pringView Investments Renter Demand vs Apartments

Renter Demand

Why Renters Prefer Single Family Homes Vs Apartments:

1.  Larger families have access to the larger square footage provided by a typical single family home, compared to the average smaller apartment. 

 

2.  Greater opportunities to put down roots in a community.

 

3.  Market stress, with home ownership going down.

 

4.  Single family homes are often in safer neighborhoods than multi-family apartments.

 

 

Source: Fannie Mae National Housing Survey 2012