Even more American homebuyers are paying cash to acquire homes, according to a new survey from Campbell/Inside Mortgage Finance.
The group’s HousingPulse Tracking Survey said between October and January, the number of homeowners purchasing residences with cash grew from 30.8% to 34.1%.
This trend is occurring at a time when mortgage rates are holding low. The survey noted that all-cash buyers are getting discounts of approximately 10%.
Homebuyers who turned to cash purchases are doing so because of the slow underwriting process late appraisals and long-wait times when dealing with certain loans, the report said.
“It is taking about 60 days to close a non-troubled FHA loan. About 30 days longer than usually a year ago,” an agent in Florida told the survey team.
To release its report, the Campbell/Inside Mortgage Finance HousingPulse Tracking survey interviewed 2,500 real estate agents across the country.
