Have you been hearing the term "boomerang buyer" a lot lately? It's no surprise to us if you have, because these particular buyers are making a huge come back to the real estate market. And they're bringing ammo with them. Boomerang buyers are borrowers who lost their homes during the recession and want to start buying again. Hence, the use of the term "boomerang"--pretty self explanatory. Approximately 4.7 million home owners lost their homes to foreclosures or short sales since 2007. Many of these former homeowners suffered a great loss during the housing bust, and not just their homes, but their jobs, savings and other assets. So here comes the good news: Boomerang Buyers are expected to make a strong comeback
this year. According to an article on RealtorMag.com,
home owners who once lost their homes to foreclosures or short sales will soon bring back the kind of muscle this economy needs. John Burns Real Estate Consulting firm states that 70% of those home buyers will bounce back within eight years of losing their homes. Additionally, this firm estimates about 500K boomerang buyers to enter the market each year until 2016. “Their time out of the market may be shorter than many Americans might expect,” USA Today reports.