When to invest In Property

16 Replies

NOW! Tomorrow, next week, next month, next year.

It's always the right time to invest in real estate IF you know what you're doing. It's never the right time to invest in real estate if you don't.

Good Luck,

Mike

" never been a better time". That goes for some areas. "never been a WORSE time", goes for other areas. Just make sure you know which is which. Rich

Its better to make mistakes than to do nothing. Ready....... Fire....... Aim. Mistakes are our greatest teacher. You are doing the right thing by asking questions. Take actions and make adjustments. You can't really fail as long as you learn and apply knowledge.

call me conservative but right now is the best time to buy and rent. Other forms of investing, such as but not limited to, buying and flipping are not so wise. You could buy, fix, rent and sell within 5 years and make a sizeable profit. personally I am against buying and selling before you have had the property for more than a year. You get taxed a higher rate for short term gains than you do for capital gains or you can even deffer taxes for a later date if you have a larger (more expensive property). Any specific questions just ask me and if I dont know the exact answer I will find one for you from someone with more knowledge and experience.

I agree with the last poster: it's a great time to buy, but a bad time to sell. I would buy what you can, for as little as you can, and sign rental agreements on all of it.
When the real estate market turns around and heats back up in a few years, you'll be poised to cash out handsomely.
Best of luck,

For those people who think now is a bad time to be flipping and/or selling, you shouldn't be speaking so broadly...it may be true in your market, but it's not true in every market. In fact, it's probably not true in your market either, if you know what you're doing.

I'm having no trouble flipping houses in this market. I'm averaging 1-2 per month, my typical DOM is under 30 days, my average profit is about $27K, and there is no shortage of buyers for my properties.

The key is doing your research. In my area, houses that meet very specific criteria (and also meet the criteria of the available buyers) sell very quickly. If you're buying based on that criteria, you should have no problem selling.

Just because everyone is saying that now is a horrible time to be flipping, don't assume it's true.

The only time that is a bad time to flip is when you purchase too high to be able to sell at a profit.

IF you know how to find the deals, then you can fix and flip, or even sell to a fixer/flipper who can also make a profit when they sell.

Everyone can make money IF no one is too greedy. This may require you to (as some people call it) "leave money on the table". But that money left on the table can be offset by the holding costs if you wait till you can get full price.

Don't buy houses and keep them. You've heard me right. Houses are not the way to go as far as generating cashflow, or cash that comes month in and month out whether or not you do some work for that month. Houses are good to sell - houses are capital gains play not cashflow plays. That is I've made money when I buy a house at a low price and then I sell it at a higher price.

I've bought houses but the cashflow isn't there. I've found that the real passive income comes from commercial properties - apartment buildings, retail mall, office buildings, mobile home parks, assisted living facility, etc.

Dedicated to your financial success,
Trace Trajano

For those people who think now is a bad time to be flipping and/or selling, you shouldn't be speaking so broadly...it may be true in your market, but it's not true in every market. In fact, it's probably not true in your market either, if you know what you're doing.
I couldn't agree more with this statement. Is it easier to flip in an up market - of course, any cave man could do it. In a down market, you just need the right plan, the right connections and the know-how.

Don't buy houses and keep them. You've heard me right. Houses are not the way to go as far as generating cashflow, or cash that comes month in and month out whether or not you do some work for that month. Houses are good to sell - houses are capital gains play not cashflow plays. That is I've made money when I buy a house at a low price and then I sell it at a higher price.

I've bought houses but the cashflow isn't there. I've found that the real passive income comes from commercial properties - apartment buildings, retail mall, office buildings, mobile home parks, assisted living facility, etc.

Dedicated to your financial success,
Trace Trajano

While I agree that commercial is where the big fish swim and eat, and the profits have several more zeros behind them, this sounds more like a plug than anything.
Beginning investors don't usually jump in to large commercial deals and have success at them. This terrain is also where fish get fried!

Michele, it is always a great time to invest in real estate! It goes up and it comes down, but history proves it always comes back up again. There are different techniques and ways to make money in all types of market conditions. Do your research, crunch the numbers and be persistent!

Best of luck to you!

I'm a passionate buyer for certain areas at present. 2 weeks ago I was in Dallas area, last week in Cancun and this week in SW Florida. That should tell you what areas I like. BUY BUY BUY!!!!!. I also disagree with the poster about buying only commercial. Homes can be sold in any economic climate. Not so true with commercial. Homes may be sold to investors or owner occs. Not apt complexes. Rich.

decide whether you are in it for gain or income.

Each approach has a different market requirements

As to commercial. The tax man ends up making more money than you, most of the time

Some factors are out of your control, such as
-interest rates
-changes in laws (e.g. Tax law of 1986)
-acts of God
Other factors that can influence your success can be learned, like
-how to do comps
-know how and what improvements to make
-how to find bargains
-property management skills
-what strategy you use in your area

So whether or not it is a good time to sell will depend some on luck, but a lot on skills you can develop

Originally posted by J Scott:
For those people who think now is a bad time to be flipping and/or selling, you shouldn't be speaking so broadly...it may be true in your market, but it's not true in every market. In fact, it's probably not true in your market either, if you know what you're doing.

I'm having no trouble flipping houses in this market. I'm averaging 1-2 per month, my typical DOM is under 30 days, my average profit is about $27K, and there is no shortage of buyers for my properties.

The key is doing your research. In my area, houses that meet very specific criteria (and also meet the criteria of the available buyers) sell very quickly. If you're buying based on that criteria, you should have no problem selling.

Just because everyone is saying that now is a horrible time to be flipping, don't assume it's true.


I couldn't agree more. You've hit the nail right on the end. I'm in the market some say is the worst in the nation, Michigan. So far I'm on track to well surpass any other years in income from real estate investing. This is mainly coming from flipping.

The margins are tighter, no doubt about it. However, the same basic prinicpals apply: by low, invest wisely in improvements, and sell for market price. That can be done in any market. But it takes a keen sense of market knowledge and having the right contractors on your team to make it work in a market such as this.

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