The percentage of single-family homes and condos purchased with all cash or by institutional investors hit record lows in May.
Nearly 25 percent of all home sales in May were all cash purchases, according to RealtyTrac’s U.S. Home & Foreclosure Sales Report. This figure represents the lowest level of all-cash closings since November 2009. A year ago, more than 30 percent of buyers closed with all cash.
The share of institutional investors — entities purchasing at least ten properties in a calendar month — dropped to 2.4 percent of single-family home sales in May, the lowest level since January 2000.
The most common states for all cash deals in May were New Jersey and Florida, with these transactions accounting for nearly 48 percent of all sales in both locales. New York (38.8 percent) and Massachusetts (37.1 percent) followed.