Boomerang buyers, who represent the millions of homeowners that lost their house during the great recession, represent a massive wave of pent up demand. According to RealtyTrac the first wave of 7.3 million homeowners who lost their home to foreclosure or short sale are now past the seven-year mark they conservatively need to repair their credit and buy a home.
RealtyTrac analyzed foreclosure, affordability and demographic data to provide predictions of when and where these boomerang buyers will return.
Here’s how those emerging boomerang buyers break down by market and by year:
It’s estimated that in the Twin Cities there are 101,695 potential boomerang buyers that are expected to make up 7% of the market from 2015 to 2022.
Markets where there was a high percentage of housing units lost to foreclosure, but where current home prices are still affordable for median income earners are most likely to see the biggest wave of boomerang buyers.