Real Estate Investor · Virginia/North Carolina · Member since 2011 · 25 posts · 6 votes
While there isn't much contained in this story most of this group doesn't already know, I felt compelled to share.
It should be of particular interest to those of you working the Atlanta market, but the story can applied be across the US. We are seeing more and more stories of this nature and I can't help but think (and fear?) it will also lead to more investors jumping in;albiet haphazardly...but could impact prices. Suppose that is good and bad depending on your perspective.
Flipper/Rehabber · Los Angeles, CA · Member since 2009 · 1k+ posts · 732 votes
14y
Steve...I agree, we are seeing more of these type of stories showing the "other side" of the foreclosure crisis. Instead of focusing on the poor family losing their home, they are showing the side of the person that is purchasing that home cheap and reselling it or renting it out.
I'm hoping we do stay in this "bad housing market" for a while though because I would like to be able to take advantage of the deals available.
Real Estate Investor · Virginia/North Carolina · Member since 2011 · 25 posts · 6 votes
14y
Joseph, I agree with you. My fear is too much press and hype will bring more ill-prepared investors into the arena and drive up prices. Might be like watching an episode of 'Storage Wars' :). Saavy investors like us will have to wait and pick up their pieces. OK by me if that becomes the rules of the game.
Investor · Los Angeles, CA · Member since 2011 · 242 posts · 61 votes
14y
The news won't have as a big an effect such as storage wars. Its a big diference between willing to lose $200 on a storage locker and lets say $20,000 on a properties downpayment. Yet, I am also worrried about more and more investors flocking to real estate.
Sandy Springs, GA · Member since 2011 · 126 posts · 31 votes
14y
I am in Atlanta and I can already see the competition. Its been pretty difficult for my partner and I to get SFH under contract. If a good rehab target makes it past the Owner Occupant Only time frame, it usually goes under contract in about 72 hours.
Flipper/Rehabber · Los Angeles, CA · Member since 2009 · 1k+ posts · 732 votes
14y
Andrew, I see what you are saying about people not having the downpayment/funds for a property being able to get in the game, but there is money on the sidelines right now. People with cash waiting to invest. If they keep on hearing in the news that there is a gold rush going on in real estate of real estate is the hot new thing to invest in , it will result in more people purchasing properties.
Most people have a herd mentality and they want to invest when it is "safe". Ironically this is usually when the price of the asset is too high.
For example, many people view Apple as a "safe" investment at the current price, but it was risky at $14 a share. They think it is safe because analysts keep on telling them it will go to $600 a share.
Investor · Paradise Valley, AZ · Member since 2012 · 361 posts · 214 votes
14y
Here I Phoenix I have about given up on finding decent single families in good neighborhoods. Not enough inventory and too much competition. The horse has left the barn! If I were in areas where this was not the case I would say buy, buy, buy because these opportunities are going to be gone faster than people think. 2 million jobs created since last summer(per marketwatch) means that many more people thinking about housing again.
Investor · Diamond Bar, CA · Member since 2009 · 446 posts · 233 votes
14y
This is what happens when people go all over the interweb and talk about profits......... DOH!
Remember, the market will trough a few times, wiping people out each time it drops after a trough, when no one is interested in RE, when there is only 1 buy at the Trustee sale.... the market will have hit bottom.