Foreclosure investing markets are pricing in a mild Fed rate

Markets are pricing in a mild Fed rate cut in September 2024, prompting foreclosure investing funds to position for lower acquisition financing costs. Related REIT ETFs have notched a 3.7% monthly return amid increasing inflows from retail investors. Nearly a dozen parties showed up at the auction with an interest in the property that recently went into foreclosure, but only a few parties actually placed bids on the camp that most recently went by Tolgy Wood LLC: Chesterfield Camp. After successfully outbidding the competition, a dozen volunteers and participants of The Ashmere Project celebrated the moment with joyful tears and a group hug. Small-scale real estate investment in foreclosed properties is leading to more occupied homes in the city, and the majority of investors are Detroiters. This aligns with rising expected distressed property supply, with auction listing volumes up 9% year-over-year. Traders anticipate increased liquidity in this segment.