stay or go?

Question

I broached this topic in my intor, but I wanted to open it up for wider discussion. With the real estate market in trouble, is this a better time to buy or sell? I lost a lot of money in my real estate portfolio last quarter, but I get the impression that when prices fall, the buys are cheaper. What would you do?

Brice C. · Answer

Absolutely

Take nikes advice

JUST DO IT!

John Gullickson · Answer

Just do it!

Brice C. · Answer

Do not buy unless you know how your going to get out or profit. Buy and sell....buy and sell.
let your wholesaling profits buy more wholesaling profits.

Dane Whales · Answer

i think you have to change you strategies,, as many other posted above,, buy it in the lowest as you can and sell it high,,, it sounds tough and it is tougher to achieve...

Kathy Potter · Answer

If you can afford to buy more without selling this is a great time to buy. Depending on when, where and what you bought it might or might not be a good time to sell. Also have to consider your goals, long haul investor, if tenants are covering payments keep them. 
If you are going negative on rent because you speculated on appreciation and that is not happening now, maybe you are losing value right now, might be good time to "make that tough decission" and get out of those.

Celine Fang · Answer

I would make sure to have some kind of exit clauses and that the contracts are assignable. Just in case after carefully analizing and the deals don't work out for you. It wouldn't hurt to not purchase..... or an other investor may find them good deals.

Jason F · Answer

No matter where the market is, buy below it.

Jason Hanson · Answer

I would buy new properties, but would not sell the ones you have. Like a lot of people I have lost a lot of equity in this market. However, it is truly only gone if I tried to sell right now, which is why I am holding onto all of my properties until the market picks up-which it always will.

Rich Rifkin · Answer

I do not recommend keeping stock that consistently goes down in price/value.  I suggest minimizing all depreciating items (such as cars, boats, etc).  We are in a recession and the equity you have in your home today will decrease tomorrow.  It's like a non-interest bearing escrow account with accruing charges and fees.

I've owned more than 90 properties and built/developed more than 1,000 properties and large parcels, and I've owned a construction, Architecture, Mortgage and Real Estate company(ies) for 18 years.  Believe me when I tell you to invest in something that makes sense.  If your home is upside down (or close to it), make the difficult decision.  These days rent is much less than mortgage payments, taxes and insurance (although you should keep renter's insurance).

John Geddes · Answer

Buy low sell high.  If you have the funds it is a great time to buy.  Although you have to look at what you can stomach because there will be some time before you see growth.  Look at what your end goals are, the time period you  can lock up your money, and the amount of risk you can tolerate.

Diversify and practice DCA (dollar cost averaging) whenever possible.

JPG