Look for a property or wait?

Question

Do you think its a good time to buy with interest rates going down but housing prices being an all time high or wait for "something" to change?

Albert Gutierrez · Answer

The problem is that California is always a tough cookie, I live here and rent prices as well as property prices are sky high, so in my case I want to buy a MFU but not sure if "its the right time to buy". Should I keep paying rent and wait it out or should I act now since I saw a few potential properties that won't cash flow, but at least I could potentially make some equity and not throw the money away in rent but then again if the market drops a bit and the same property is worth 50k less next year than the equity part just went out the drain hole.

Aaron Poling · Answer

You can buy in any market, but use sound buying principles. Use this time to evaluate lots of properties, utilize the BP calculators and learn good buying principles. When you find one where the numbers work, then make an offer. Just don't get caught up in the rat race to purchase and overpay by abandoning your buying principles. Good Luck! Aaron

Christopher Janney · Answer

@Albert Gutierrez the deal is in the numbers.  I know it sounds over simplified, but it's true.  I live in SoCal as well (Pasadena) and we're finding deals, but they aren't falling in our lap.  If you want a MFU, you are going to have to do some research, and @Walter Aaron Poling is right, use the BP calculators to analyze your deals.  It's a numbers game, and we'll go through 80 leads to fine a couple worth following up on, and maybe one of those turns into a deal.  Don't be discouraged by the "no"s and the unaccepted offers.  It's par for the course.  *Do* be consistent, meaning if you follow a lead and get no answer, go back to it the following week until you get a YES or a NO.  Everyone here doing business successfully knows the fortune is in the follow up.   Decide how many leads you are going to follow a day, and track every one on a spreadsheet.  You'll find a deal within 100 leads, if you are consistent.