By Rory Hall and Dave Kranzler
The Government, as we all well know by now, spits out economic reports based on shoddy statistical samples that are seasonally adjusted. Then the data that is cooked for any specific month is annualized. While the result might not be too far off base for any specific month, the errors aggregate over time so that some statistics, like the GDP report, bear no resemblance to reality.
Flippers and investors bought 37% of all existing homes that traded in 2016. Many are sitting on homes they can’t sell for enough to cover their rehab expenses. The over $750,000 segment of the market is flooded with inventory.