Benchmark
The Housing Market Is Waving a Red Flag
Third-party investors are making up an alarmingly high share of auction purchases, according to housing-data firm RealtyTrac
An auctioneer speaks to potential bidders outside a home in Atlanta.
Photographer: Chris Rank/BloombergThis article is for subscribers only.
Almost nine years after the housing-market bust helped trigger the most recent recession, RealtyTrac senior vice president Daren Blomquist sees the industry waving a red flag.
The same fervent speculation that abetted the housing bubble is showing up in the bloated share of foreclosures snapped up by third-party investors at auction — a record 31 percent in June, according to RealtyTrac data that starts in 2000.