"Bargain-Hunters Descend, Cash In Hand" writes Nick Timaros at the Wall Street Journal, and the spotlight is on Florida where all-cash home sales have been historically more frequent considering the percentage of foreign buyers. However, Timaros writes, "a number of cash buyers these days, in Florida and elsewhere, are also investors scooping up distressed properties and affluent families seeking relatively inexpensive vacation homes." Incredibly, the decision seems to be something of a "flight to quality" for some buyers disappointed with comparable returns in the stock and bond markets. Cash will continue to dominate for the foreseeable future, especially in South Florida where "a glut of condos that eroded home prices has triggered tighter lending standards, including 50% down payments even for individuals with spotless credit." Condo Vultures' Peter Zalewski puts it in perspective, "The all-cash buyer is basically the only one doing deals today because the financing just doesn't exist. It's virtually impossible to get a loan."
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