“Follow the money” goes the rule — and that in mind, a lot of that money is going into the housing market. By investors, that is.
So explains the CNN article, “Big money betting big on housing“:
Hedge funds and private equity firms have been rushing in to buy up companies and assets in every part of the housing supply chain, including undeveloped land, homebuilders, foreclosed homes, and building parts manufacturers.
That’s a good sign — as one of the article’s commenters put it, “Big money is never stupid.” So seeing it bet on housing is a positive. On the other hand, of course, there’s no telling whether “big money” is placing its bets for the long term (a sustained recovery) or the short term (some quick cash before things go bad).