ARE YOU PREPARED FOR A CREDIT EVENT?
This should be a priority for all Real Estate investors. If you were investing in 2008, I want you to think back to that time. What a mess. I don’t know about you but, I got caught short cash. There was a strange spike up in lending. All that amounted to was established credit lines drawing down. Think your business plan through:
What if sales of Rehabs get tough?
What if rents drop?
What can you do to increase your market share?
What can you do when your competition pulls back?
What are my relationships with lenders?
Can I get Private Money when I need it? And on favorable terms?
How can I cut costs and not sacrifice quality?
What worked for you in 2008?
The investors that made money and I mean lots of money in 2008-09, had CASH. Don‘t think cash will not be King in the next credit event? Remember, congress is going to have a weak stomach for TARP 2,3 or whatever. This time the bondholders loose big.
Right now, I’m raising all the cash I can get my hands on.
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