Market turning need advice

PS: I am not looking to speculate I prefer to make smart investments

From what i hear about other markets, investors are even going above the asking price of listed properties. There is now alot of competition out their to find a good property....to have for rental income. Seeing as how mortgage rates are so low, investors are gunning for buy and hold properties so they could get a good amount of monthly cash flow.

Your going to have to find your own way of finding "unlisted" deals by advertising for FSBO's, Absentee owners, expired listings, pre-forclosures, etc.

You find a motivated seller and see if they take well below the ARV and you have a deal. Easier said than done though.

Good Luck.

You should also check surrounding areas that may have not started to have price increases yet. These could be ground level opportunities as when your area increases, so my there's in the future.

Also, it depends on what your buyers are willing to pay. If they are paying, say... 20% below ARV (just for example), you can adjust your offers accordingly. Have your agent send you a cash solds list from the MLS for the past 90-120 days and see for yourself what the actual selling prices are and for what houses in what condition.

Hope this helps...

Andy Sager
DG's AndyS
CFIC member

Unfortunately that is exactly how it is in my area right now. The last agent I talked to said he got multiple offers 40 minutes after listing a property.

Thank you for reminding me about the unlisted properties. I completely forgot about those.

I have checked within a radius of 2 hours drive from where I live they are all doing the same.

Good point about raising my offer to match what others investors are doing. I guess I will have to get more creative on finding more ways to fund the deals I do.

So far I haven't decided on an agent to go with but I will ask for that report once I have made a decision on who to go with.

Hi ,my girl friend and I want to buy a house. The mortgage broker told us we would have to wait till January because my credit is not up to par but my girl friends is. How can we get around this without having to put more than 10 pct down.there are a couple of houses that we looked at and one in particular caught our eye.if we have to wait it might be gone.help please.

Kevin, you are on target. If B/F/S is your preferred strategy you HAVE to know what the market it doing, where are you pockets, DOM, etc.
I also am heavily using this strategy. My market is turning as well. Every month on the 1st I do indepth analysis like clockwork. I've been tracking DOM, solds, zips, pockets and seeing a steady decrease in DOM and increase of retail sales. I also run reports by: 30 days solds, method: VA, FHA, Conventional (targeting retail buyers) then filter by neighborhood/community. More than one sold in a specific neighborhood, gets farmed by me with bandit signs! lol
Based on what you have disclosed this is my .02

Have an agent send you Sales by area. Specifically each month 06/01/2012-06/30/2012 for the last 3 months min. I use this to get a # of solds per sales area then place them in order from highest to lowest. Focusing on the top clear risers. Ex Area #XX = 40 solds will be #1, Area #XX 32 solds will be #2, etc.
area = zip codes
from this I run for the top risers a Price Range Statistics Report based on that area for solds. If you study it you will see a trend. You will find your pockets. For me tons of investors like the $30-45k pocket to buy. It comes on listed and 5 offers by noon now. But in certain zips the highest # of sales and lowest DOM may actually be properties with ARV of $150,000-159,999 that equate to 18 of the 32 being in that price range and for that pocket an average DOM being 14. But by zip (total area) DOM may be 102. Make sense?
If investors are ONLY in a specific 'niche' they are missing a mass market by not KNOWING their market and what retail buyers are purchasing. By doing this you just decreased you DOM from 102 to 14. Every area has these pockets of price ranges/solds.....find them. Take action!

Second:
look for cheaper money cost. Target private money/equity partners rather than hard money. PML are more flexible, most will be interest only, in some cases they will want an equity position. Bottom line, Tell everyone what you are doing, about deals YOU'VE found, ROI they can get, etc.

Hope this helps.

Remember nothing moves until we do!
God bless,
Jen

Do exactly as you've read listed on this site, and contact some of the investors in your area. Let them know that you are interested in finding a good property to do a lease-purchase deal.

Hi,

How about doing a lease purchase?

That's a great answer. Goes along with considering other areas that the mob isn't part of.
When the market is buying, sell and work in a spot where no one else is, using strategies that give
When the market is selling, buy.
Most of it is investors, keeping in mind it is still an economy in decline, lack of credit, and more & more people are losing jobs, people who can't keep their homes and have to rent. So if you like buy & hold.....
Otherwise birddogs will be more important than ever!

.

hahaha just wondering, how ya doing man