This seems to be a recurring topic. I personally think you should always be buying. Run the numbers and when they work, buy. When they don't, keep looking. If you try to time the real estate market you will be sitting on the sidelines forever.

Hi @Bryan Levine I am in Orlando and our market has been steadily hot for years now. The best thing to do is to get better at finding and analyzing deals.

Whathe if values go up 30% more, and then the correction is 10% off of that? You would miss out on 20% appreciation from right now? Or a correction could come tomorrow. No one can time the market.

@Bryan Levine, If you wait for the "right time", it will never arrive. Adapt as the market changes. If you do pursue condos, remember to include the HOA fees as an operating expense. If it's still positive cash flow, continue your analysis and due diligence on your way to a buy or not decision.

@Bryan Levine I have a list of data that I plan on writing a pretty in depth blog about the Real Estate market. I do think that there is a 'contraction/correction' coming in our market. Hopefully that correction isn't flushed further due to external/foreign events (like Deutche Bank or the host of EU countries drowning in debt). We haven't had a black swan event in some time and there are a lot of moving parts to what can happen in the RE market. With all that said, as investors we buy under 'market value' or purchase more 'distressed' properties for reasons. If you find a good enough deal it wont matter much how far down home values go. I personally am scaling back on marketing and acquisition

@Bryan Levine Just an observation but the last time the market peaked many investors began looking at Condos as well. I believe this is because they are such poor instruments for long term wealth that they were still on the table and priced cheap respective to the SFH markets. With that said, I think this is just an indicator that we are near the top or at least taking a breather from the recent run up. Keep looking, you may have to analyse many deals to find one but they are out there. It is definitely harder to find them but I am still finding them. Maybe one every two to three weeks now vs. at least one per week last year. I wish I could buy them all!

Condo's don't make sense in my area either because the HOA fees are too high. Townhomes can be an option if looking for the low maintenance ownership features of a condo. It may be possible to find a townhome with low HOA fees.

@Curtis Yoder @Walter Key @John Kent I love all the advice. thanks. I use a basic performa to analyze deals. The problem as I see it down here is the condo HOA fee's. Are condo's typically poor investments ?

I love this advice. Most people are waiting to beat the market, well you gotta be a player first. You don't need to wait around for the THE deal, you just need A deal! be persistent, talk to tons of agents, find motivated sellers. If the market is hot, that means you gotta compete like a monster!

Quick search links

Find an Agent Find a Lender Hard Money Lenders Podcast Books Columbus

Back

Pick Markets

Market Finder - NEW PRO Picking a Market Workshop PRO Picking a Market Worksheet Top 100 Cash Flow Markets Market Insights - Sunbelt Region

Market finder

Pinpoint the best real estate market for your specific goals with expert recommendations and real-time data on appreciation, affordability, rent-to-price ratio, and more.

Pick Markets

Pro membership

Get unlimited access to tools and resources that make it easier to find, analyze, and manage deals with confidence!

Upgrade to Pro

Back

Find Deals

BiggerDeals Off-Market Deal finding PRO Real Estate Syndications Investor-Friendly Agents Find Foreclosures Community Listings (FSBO) Business Directory

NEW! Find Cash-Flowing Deals Fast

Search nationwide listings with built-in cash flow analysis.

Find Deals

Invelo - off market deals

Scale your portfolio with off-market deals.

Explore Now

Back

Calculators

Rental Property Calculator PRO Rehab Estimator PRO Rent Estimator PRO BRRRR PRO Fix & Flip PRO Short-Term Rental PRO Sell vs. Keep PRO Landlord Insurance Calculator by Steadily All Calculators

Rental property calculator

Is it a good deal? Run your numbers like a pro with this simple yet powerful calculator.

Run the Numbers

Rent estimator

Understand how much rental income you can expect based on recent reports and data for your specific property.

Run Report

Back

Plans & Pricing

Pro Membership Business Membership

Try PRO for 7 days completly free

Avoid mistakes and make informed decisions with Pro.

Start Free Trial

Grow your business

Promote your business on BiggerPockets and make quality connections with the right investors.

Back

All Books

Best Sellers Browse All New Books & Pre-Orders Bundle & Save Books for Beginners

Unlock hidden potential in every property and maximize returns

This is your creative breakthrough guide to escaping investment paralysis and unlocking hidden profit in any market.

Get Your Copy

Build a Cash-Flowing Glamping Business with High Equity Upside

Whether you're starting from scratch or expanding existing hospitality operations, learn the practical frameworks needed to capitalize on the growing demand for upscale outdoor experiences.

Learn More

Followed Discussions Followed Categories Followed People Followed Locations

Buying & Selling Real Estate

Market News & Data

Market Trends & Data

Buying & Selling Real Estate

Out of State Investing

Real Estate News & Current Events

Real Estate Technology

Investor Mindset

General Info

BiggerPockets Exclusive PRO Area

PRO

General Real Estate Investing

BPCON

New Member Introductions

Questions About BiggerPockets & Official Site Announcements

Off Topic

Starting Out

Real Estate Success Stories

Real Estate Horror Stories

Real Estate Strategies

House Hacking

Commercial Real Estate Investing

BRRRR - Buy, Rehab, Rent, Refinance, Repeat

Innovative Strategies

Mobile Home Park Investing

Land & New Construction

Multi-Family and Apartment Investing

Wholesaling

Rehabbing & House Flipping

Short-Term & Vacation Rental Discussions presented by

Tax Liens & Mortgage Notes

Medium-Term Rentals

Buying & Selling Small Businesses

Outdoor Hospitality

Landlording & Rental Properties

General Landlording & Rental Properties

Managing Your Property

Marketing Your Property

Tenant Screening

First-Time Home Buyer

Real Estate Professionals

Mortgage Brokers & Lenders

Contractors

Real Estate Agent

Financial, Tax, & Legal

Creative Real Estate Financing presented by

Personal Finance

Insurance

Private Lending & Conventional Mortgage Advice

Tax, SDIRAs & Cost Segregation presented by

Foreclosures

1031 Exchanges presented by

Goals, Business Plans & Entities

Legal & Legislation

Real Estate Classifieds

Classifieds

Real Estate Events & Meetups

Reviews & Feedback

Ask About A Real Estate Company

Real Estate Deal Analysis & Advice

Guru, Book, & Course Reviews

Syndications & Passive Real Estate Investing

Updated about 9 years ago on 09/20/2016. Most recent reply

8
Posts: 0
Votes

Bryan LevinePoster

Investor
Delray Beach, FL

Buying & Selling Real Estate

Wait for correction?

Bryan LevinePoster

Investor
Delray Beach, FL

Posted April 24, 2016 18:04

It's hard to find a good deal down here in Florida. The market is robust. Even REO properties are selling for around market value. Should I just adopt the strategy of waiting it out for a market correction?

0 Votes

11 Replies

Jump to Last Reply

Wait for correction?

Most Popular Reply