Investment strategy for the changing market?

Question

I would like to know from the more experienced investors on this site what your investment strategy is in this changing market.

Will you still be rehabbing & selling, or buying & holding?

Please share your thoughts/plans with this newbie!

Deyano M. · Answer

Even with the slowdown, house are still selling. The average home sale in my area of investing is around $255K- up from $240K last year. If you put a quality product on the market, it will sell- even with picky buyers and a slower market. As my realtor tells me, "people still need a place to live".

If anything, I have seen a major slowdown with new construction developers. Rehabbing is unique because it takes what already exists and transforms it into a new option on the market.

Good luck!

Deyano M. · Answer

Hi Bonnie,

I am not as experienced as some of the people on here, but I'll give a response based on my situation.

Alot depends on your location/region of the country as far as trends. The area I am investing in is an area by the water with alot of big developer money going into the community. Despite the market, it is a hot area no matter what. That said, it is still leaning towards a buyers market. So I can also make out well on buying my rehab property, but must be conservative when pricing it as buyers are more picky. Even with that said, it is easy for people to get mortgages these days- there are so many loan products and the job market is very strong. What does that equal? People buy houses!

We are rehabbing and flipping, so this is still a possibility, but you must be smart. I suggest allocating alot of time to budgeting and coming up with a strict timeline and a team that will help you get to your goal.

Good luck!

N/A N/A · Answer

Thanks for your reply Black Wolf. I am by the water down here as well, on the eastern shore. We have seen a market slowdown here.
I am in the middle of refinancing my first investment property, and will be on the lookout for #2 soon, so I appreciate your input!