Buy and hold or flip for capital gains?
I was wondering what strategy to look into in this very unique real estate market that socal is currently in. Here are some of the aspects of our environment in case you are reading this outside of sunny socal:
more demand than supply (tax credits and low int rates)
75% of listings are distressed: short sales & REOs
tight financing
nice rental market with many previous homeowners looking to rent
I have always been a believer of buy and hold but have read many investors on this site suggest capital growth when the right market presents itself. There seems to be many flippers/rehabbers in the current market just flipping their way into large sums of money which I presume will be used to buy cash flow properties.
Any thoughts from kind geniuses willing to share? I am turning 30 this year and want to take advantage of what is going on in Socal so that when I am 50 I won't be wondering "WHAT IF????"
Here's to Creating Wealth!!!
Tripledecka