Home values see biggest drop since 2008

Bill,

Thanks again for keeping us posted with the market with this article.

Cheryl & Dave

Thanks for the article. You are so right, it's all about buying right(an acquired skill!!) and having 2 or more exit strategies.

Michael Mangham
MD Home Acquisitions LLC

I agree. Watching these forums over the last year tells me that a lot of readers just don't get that. While I know that our collective egos always allow us to think we are the exception rather than the rule, if they don't fully understand the downside in this market, it's a recipe for disaster. Learning "on the fly" about real estate worked for a long time, but today it really is stacked against those that don't know what to look for.... especially as an exit strategy.

The last AZREIA meeting i went to in January said the market is picking up here, and inventory is starting to get almost scarce. Home values still appear to not be the greatest, but that doesn't mean you can find some decent deals out there, as long a you know what to do with it & have a way out or 2. That's why they say every market is different, esp. Seattle.

seems like good news for REIs...thx for sharing this!

that even investors eventually need to sell to an end buyer (Homeowner). If there isn't a strong need for retail priced property then investors will have to buy cheaper to make their property stand out from the others. Assuming this, they have to buy it cheaper which means a property you think is a great deal today as a wholesaler might not be a great deal tomorrow. So be careful as you could get stuck with property or ruin your reputation if you are escaping every property you bid on in this market.
Also, be careful about believing that your market is different from everybody elses. It's easy to believe but in today's economic climate it probably isn't. REIs can make a boatload of money here but I believe you have to be objective, savvy, experienced and have the resources to wait out any bad decision you might make.

I've got a project I'm hesitant to lock in until I know I have a buyer ready and cash able. Plus have a contingency clause on assignment. Great to do creative deals but still need to be wise. Thanks for experienced help here at DG!