Cash purchases dominate real estate investing

Real estate investment activity is on the rise, and these professionals have a lot to look forward to well into 2014.

Cash is truly king. This tenet is especially accurate in real estate, as a number of investors turn to this method as a means to finance their next property. Not only that, but activity as a whole is on the rise, and these professionals have a lot to look forward to well into 2014.

Checking listings of foreclosed houses isn't the only way real estate investors are getting ahead in today's market, either. According to MoneyWatch, second-tier cities could be at the forefront of the housing recovery as soon as next year. This means investors, developers and builders will lead the charge, moving away from cities like San Francisco and instead focusing on places like Dallas and Boston. 

In addition, an old philosophy has returned - called "smile investing," MoneyWatch reported. This means that investors track a "smile" across the country, starting in the Northeast, then south along the Sun Belt and back up to the Northwest.

New report highlights investor preferences
Real estate investors have many different tactics when it comes to the housing market. For many, however, the preferred method of buying is with cash.

According to new information from RealtyTrac's Investor Insight Report, out of the more than 950,000 purchases since 2011, 54 percent were all-cash. The more properties an investor buys the more likely they are to use this method, as well. Out of the professionals with over 1,000 purchased properties, 93 percent went with all-cash.

However, the number of properties a person has appears to influence their exit strategy, RealtyTrac noted. Only 1 percent of those with more than 1,000 purchases re-sold, while that number increases to 25 percent for investors with more than 100 purchases, and a total of 57 percent.

Real estate investors need to have the best information in order to succeed in the industry. Courthouse Retrieval System can provide that, with a large collection of property data, mortgage records and much more.



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