The real estate market is starting to have many of the same characteristics of the last Bubble. Home prices are rising at an alarming rate and there are multiple offers. So who is the buyer of these properties and why are they willing to pay over asking price? It is not the first time home buyer or the couple moving up from one home to another. The buyers are investors that are purchasing single family homes to rent out to the many homeowners that lost their homes to foreclosure. The home prices here in Florida are reasonable enough that the Hedge Funds are entering the REO to rental market. When the big money guys come into the market it becomes inflated artificially. There is, once again, no end user. This seems to me to be repeating the 2005 craziness. Now that the prices are rising, the investors are even becoming a bit leary of the real estate investment property. Be careful what you wish for investors!