Real Estate News & Commentary

The Impact of 28.1 Million Real Estate Investors on Housing [Infographic]

Expertise: Real Estate Marketing, Personal Development, Real Estate News & Commentary, Mortgages & Creative Financing, Real Estate Investing Basics, Landlording & Rental Properties, Flipping Houses, Personal Finance, Business Management
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As we already covered in “The $9.2 Billion Impact of 28.1 Million U.S. Real Estate Investors,” the impact of real estate investor on the housing market has been substantial, to say the least, over the past few years. Our Joint BiggerPockets.com / Memphis Invest National Survey of Residential Real Estate Investors outlined a slew of important data points about investor intent has received national press coverage, and has help illustrate the real power of the individual real estate investor.

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Not only have they been spending billions of dollars annually on rehabilitating and renovating our neighborhoods, but they have demonstrated their long-term commitment to their investments by signifying their intent to put down large down payments in order to receive unlimited financing of future properties.

To help further illustrate the results of this survey, we’ve put together the following infographic, which we welcome you to use, provided you follow the terms of use included below the pic (with embed codes)

Real Estate Investment Realities: The $9.2 Billion Impact of 28.1 Million Real Estate Investors

Share This Infographic on Your Website!

You are welcome to use this infographic on your site or blog as long as you provide attribution by either using the share code below or if you include text links to BOTH http://www.biggerpockets.com/rei/residential-real-estate-investor-survey-biggerpockets-memphisinvest/ AND http://www.memphisinvest.com/biggerpockets-memphis-invest-real-estate-investor-survey/ and cite “BiggerPockets.com” AND “Memphis Invest” as the copyright owners of this infographic.

Copy and paste the code below on your site to embed the graphic & copyright:
<a href="http://www.biggerpockets.com/rei/residential-real-estate-investor-survey-biggerpockets-memphisinvest/"><img title="The $9.2 Billion Impact of 28.1 Million Real Estate Investors" src="http://www.biggerpockets.com/blog/wp-content/uploads/2012/09/BP-MI-Infographic-e1349038273244.jpg" alt="The $9.2 Billion Impact of 28.1 Million Real Estate Investors" width="650" border="0" /></a><br>
Infographic Courtesy of: <a href="http://www.biggerpockets.com/rei/residential-real-estate-investor-survey-biggerpockets-memphisinvest/">BiggerPockets.com</a> AND <a href="http://www.memphisinvest.com/biggerpockets-memphis-invest-real-estate-investor-survey/">Memphis Invest</a>

Joshua Dorkin is a serial entrepreneur, investor, podcaster, publisher, educator, and co-author of How to Invest in Real Estate. He started BiggerPockets to help democratize the real estate investing landscape for himself and others, aiming to make it accessible for everyone, regardless of income or education. Today, BiggerPockets is the premier real estate investing website online with over one million members and reaching over 70 million people with the message of financial freedom through real estate investing. Joshua, along with his wife and three daughters, make their home in Denver, Colorado, and spend any time they can traveling, exploring, and adventuring. Read more about Joshua’s story in 5280 and Inc.com.

    Dale Osborn
    Replied about 7 years ago
    Thanks Joshua for putting this advertising graphic together.It definitely shows the positive impact that investors have made. There are some who just like the words & statistics, but nothing beats a good picture diagram.
    Joshua Dorkin
    Replied about 7 years ago
    Thanks Dale. The industry term is “Infographic” but I suppose in this case, it may be considered an advertising graphic, as it does advertise our survey’s data. Either way, I’m glad you found it to be valuable. Thanks for the comment.
    Paul Francis
    Replied about 7 years ago
    Great infographic.. The rehabilitation spending amounts planned is noteworthy for our market in Las Vegas. Nevada passed a pretty strict “Robo-Signing” law that went into effect on October 1st 2011 that has dramatically dropped available inventory for sale. Quite a bit of inventory has entered the shadow zone because of “programs” or robo signing laws in Las Vegas. The amount of money (and jobs) rehabbing the homes is worth going into more detail and how political interference could be doing more harm to the local economy then good. I’ll certainly be using the infographic above in an upcoming post with the instructions provided for sharing. Thanks!
    Paul Francis
    Replied about 7 years ago
    Great infographic.. The rehabilitation spending amounts planned is noteworthy for our market in Las Vegas. Nevada passed a pretty strict “Robo-Signing” law that went into effect on October 1st 2011 that has dramatically dropped available inventory for sale. Quite a bit of inventory has entered the shadow zone because of “programs” or robo signing laws in Las Vegas. The amount of money (and jobs) rehabbing the homes is worth going into more detail and how political interference could be doing more harm to the local economy then good. I’ll certainly be using the infographic above in an upcoming post with the instructions provided for sharing. Thanks! Reply Report comment
    Joshua Dorkin
    Replied about 7 years ago
    Paul – Thanks for the feedback and for sharing our data/infographic in your upcoming post. I’ll look forward to checking it out.
    Karen Rittenhouse
    Replied about 7 years ago
    Thank you, Joshua, for compiling this information and allowing us to share. It will definitely be on my blog this week. Continued success!
    Joshua Dorkin
    Replied about 7 years ago
    My pleasure, Karen. Be sure to let me know when your post goes up. BTW – I shot you an email back in response to your message. I hope you received it. Do get back to me when you can.
    Jeff Brown
    Replied about 7 years ago
    Hey Josh — An obviously stellar post, overflowing with very useful data. The one figure I expect to grow, possibly significantly, is the number of investors using tax deferred exchanges as their main strategy.
    Joshua Dorkin
    Replied about 7 years ago
    Thanks Jeff. I can certainly see that happening, but of course, all these trends and data can quickly change with a single piece of legislation or executive order.
    Mike
    Replied about 7 years ago
    Josh, that is just a killer infographic. Nice work. We’ll be embedding it on our blog this week. That $9.2 b figure just blows me away. The RE investment community is certainly doing its part to stimulate the economy, that’s for sure.
    Jaz Cook
    Replied about 7 years ago
    Good morning Josh, Thank you putting this time consuming information together, love the graphics and picture diagrams. I will definitely share this with my clients. Jaz Cook
    Joshua Dorkin
    Replied about 7 years ago
    Thanks Jaz! I’m glad you found it valuable enough to want to share it with your clients. Let me know if you post it to your blog.
    Chris Clothier
    Replied about 7 years ago
    It is amazing to me how clearly some information comes into focus when it is presented in picture form. I still find it amazing that 51% of investors use traditional financing and that they put from 20% to 50% down on the properties. I know real estate is market to market, but there are going to be a lot of real estate investors who look back at this time period very thankful for the level and the manner in which they participated in this market. There may be some significant generational wealth produced! Chris
    Chris Clothier
    Replied about 7 years ago
    It is amazing to me how clearly some information comes into focus when it is presented in picture form. I still find it amazing that 51% of investors use traditional financing and that they put from 20% to 50% down on the properties. I know real estate is market to market, but there are going to be a lot of real estate investors who look back at this time period very thankful for the level and the manner in which they participated in this market. There may be some significant generational wealth produced! Chris Reply Report comment
    Wayne Turner
    Replied about 7 years ago
    This is super helpful info. I have been selling real estate for 17 years. Starting to see more people realize the opportunity of owning real estate. In my local community of Mandeville, LA – 45 minutes north of New Orleans, we can buy homes and realize a 8% return on our money. Great to see blogs such as this one that share the same passion for real estate as my staff and I.
    Alex Aguilar
    Replied about 7 years ago
    That’s a great infographic Joshua, I’m going to use it to show people that it’s not all doom and gloom in the real estate market and that even modest levels of investment can make a significant difference in stimulating the economy. I wonder how much overlap there is between the 28.1 million who invest in real-estate, the 28.5 million who own a Roth IRA and the 29 million who invest in money market funds.
    Alex Aguilar
    Replied about 7 years ago
    That’s a great infographic Joshua, I’m going to use it to show people that it’s not all doom and gloom in the real estate market and that even modest levels of investment can make a significant difference in stimulating the economy. I wonder how much overlap there is between the 28.1 million who invest in real-estate, the 28.5 million who own a Roth IRA and the 29 million who invest in money market funds.
    Jerry A Powers
    Replied about 7 years ago
    Josh, As a current Marketing student and enrolled in a Marketing Research class, I asked my professor to view the report. He brought up a question that is bothering me that I hope that you could answer. “Perhaps it’s just me but I’m having a hard time reconciling what the term “residential real estate investor” means. Take a very simple example: According the Census data, there are 130 million total housing units in the U.S. and 755,000 of those are “extra units” classified as for investment purposes (http://www.census.gov/prod/2011pubs/h150-09.pdf). How can there be 28.1 million residential real estate investors with so few “extras” in play? Am I, as a home owner, a residential real estate investor? Something is not fitting together for me.” Thank you!
    Jerry A Powers
    Replied about 7 years ago
    Josh, As a current Marketing student and enrolled in a Marketing Research class, I asked my professor to view the report. He brought up a question that is bothering me that I hope that you could answer. “Perhaps it’s just me but I’m having a hard time reconciling what the term “residential real estate investor” means. Take a very simple example: According the Census data, there are 130 million total housing units in the U.S. and 755,000 of those are “extra units” classified as for investment purposes (http://www.census.gov/prod/2011pubs/h150-09.pdf). How can there be 28.1 million residential real estate investors with so few “extras” in play? Am I, as a home owner, a residential real estate investor? Something is not fitting together for me.” Thank you!
    jeffrey gordon
    Replied almost 7 years ago
    Hey Jerry, interesting perspective from the professor. Just off the top of my head on a Sunday am I would observe that most flip investors do not hold their properties–they buyem/fixem/sellem so the property would not necessarily be in the “extra unit” class for long if at all–knowing what govy stats are like–I doubt they might ever in be in the “extra unit” class. As a student I might suggest that looking for valuable nuggets in govy stats is an exercise of diminishing return, probably something a professor might do, but not something I have ever seen many savvy investors use for guidance during my 40 years in the real estate business.. just saying! jeffrey