The New York Times is reporting what most savvy real estate investors already new, a giant second and third wave of foreclosures is poised to hit the market as banks continue to take homes at a alarming rate. What that mean to real estate investors is three to five years of declining market values throughout mos of the United States. IS this a good time to buy?
The answer is no, if you are buying retail or slightly below retail values. If you are buying short from the lenders then you can take advantage of the greatest opportunity in real estate investing in the past fifty years. Of course to buy short from the bank, you really need the help of experienced short sale specialists.
A experienced short sale specialist will not just get you a small discount off the fair market value they will obtain a spread that allows you to re wholesale the property.If you have been sitting on the sidelines now is the time to act!
Monday, May 23, 2011
Thursday, May 12, 2011
FORECLOSURE FLAWS
In case you think the foreclosure mess is going away anytime soon, here is the answer. http://blogs.wsj.com/developments/2011/05/12/fdics-bair-millions-of-foreclosures-could-be-infected/?mod=WSJBlog
Monday, May 9, 2011
Home values see biggest drop since 2008
Zillow has reported the biggest drop in home values since 2008. This further supports my earlier prediction that values will not stabilize anytime soon. In fact values declined in every major market other than Honolulu, Hawaii, Fort Meyers, Florida and Champagne, Illinois. Zillow estimates that the market will not stabilize before 2012 and to this writer that is optimistic at best. Never has their been a greater opportunity to capitalize on the instability of the real estate markets.
Lenders have incredible inventories and this news can not make them bullish on taking more properties into their R.E.O. inventory.
Lenders have incredible inventories and this news can not make them bullish on taking more properties into their R.E.O. inventory.
NO END IN SIGHT FOR FORECLOSURE QUAGMIRE
In a statement of the most obvious the main stream press announced today that their is no end in sight to the foreclosure quagmire. Really? This news is no shock to savvy real estate investors who have watched from a distance as the major lenders have only casually tried to address a human crisis of great proportion.
If you know someone who has tried to get a modification than you have heard the story, so I will not bore you with it here. It is abundantly clear that the distressed real estate owners need to short sell their properties in order to reduce their exposure. By short selling the distressed properties the market will come to an equilibrium.
The downward trend in values will continue at least for the foreseeable future. The market will not stabilize until the inventory and shadow inventory has been turned over. If the market is to stabilize in the near future it will result from investors buying the available inventory, at reduced prices, and wholesaling the inventory to the general market. Current market conditions make retail real estate sales very unattractive.
If you know someone who has tried to get a modification than you have heard the story, so I will not bore you with it here. It is abundantly clear that the distressed real estate owners need to short sell their properties in order to reduce their exposure. By short selling the distressed properties the market will come to an equilibrium.
The downward trend in values will continue at least for the foreseeable future. The market will not stabilize until the inventory and shadow inventory has been turned over. If the market is to stabilize in the near future it will result from investors buying the available inventory, at reduced prices, and wholesaling the inventory to the general market. Current market conditions make retail real estate sales very unattractive.
Posts
