All Forum Posts by: Rob Jafek

ATTOM Data comes out with all sorts of good stuff, and here's one from last February.  While the entire article is worth checking out, here's the summary:

"ATTOM Data Solutions analyzed the numbers and found that over a span of 16 years and more than 50 million single family and condos sales, February is the best month for buying bargains.  Homes in February sold at a price per square foot that was 6.1% less than the rest of the year - the biggest discount of any month of the year."

Is it standard? No.  
And I'm not just talking about us.  I know (and actually respect) a lot of other hard money lenders, and while we offer somewhat different products and approach things differently, there are very few I know that would charge a fee like that.  
Hope it helps.  Good luck on your project.  

As far as 'ways to capitalize on the real estate market', I'd say look at developing properties with an eye towards rentals. Rather than looking for stats solely on home ownership, expand a bit to look for data on rentals. If you are stressing about ownership, you may be happier to see a few charts about rentals.  I'll share one set:

The first chart is Quarterly Rental and Homeowner Vacancy Rates for the Unites States: 1995-2018.  Which shows decreased inventory.  The second then, which is Median Asking Rent for Vacant for Rent Units: 1995-2018, shows that upward pressure on rents that you'd expect to see.  

Prepping a property for rental vs an owner, is a bit different, and you'll find some good advice elsewhere here on Bigger Pockets. Also, if you are going to be a holder, this may explain some of the focus on 'BRRR'.

Data: https://www.census.gov/housing/hvs/files/currenthvspress.pdf

So true!  Thanks for the contribution to the conversation.  

Thanks @Tim Emery!  I'll look forward to it!  

I ran across a great podcast from ICOR with an interview of someone who I think highly of, and respect his experience and insights.  Here's the summary:

"What happens when you start investing in real estate right before the bubble was about to burst? A recent episode of the ICOR Podcast talks with Clint Macklin who tried to become a Real Estate investor back in the hay day of 2007 and 2008 but quickly realized just how hard the business can be (ups, downs, you name it). Now, after many years, a drive to succeed, and working with a mentor, Clint has been involved with several flips and now has a portfolio of properties in Cleveland, Ohio."

Here's the link: https://icorockies.com/real-estate-investing-podcast/102-student-full-time-investor/

Roofstock suggests 29 submarkets, based on input from their network of property managers.  A bit of a marketing piece, certainly, but value-added IMO, and not only are the submarkets worth having a look at, but also reading why they think those particular markets are good, and thinking about those as factors in considering any market or individual property.  

Hey Lin He!  Thanks for responding, and congrats on this one.  The pics are beautiful, and I'd bet the rest was just as well done.  And I still like your quote at the end, as indeed, this isn't an easy business.  But I also agree with it: worth it in the end.  

Thanks again for responding.  Very cool.  

It starts feeling a little heated in the markets when headlines like this show up on the front page of CNN. But when you look at the amount of rehab done, and the risk, the return makes a lot more sense. 

And I particularly like his comments at the end: 

"It's not glamorous and it's real work, dealing with gross properties," said He. "It can have the potential to give you a good return on your money, but it's not as easy as people think."

Check out the article: 

http://money.cnn.com/2018/06/05/real_estate/house-...

Pratik - good point.  With fewer 'distressed' properties out there, you're right that prices would get bid up.  Another article pointed out how hard it is for buyers at this point, and shared the following graph: 

So, while it doesn't say directly that people are switching into 'distressed', the category of 'Accept a smaller/older home than originally intended' may include that type of 'adjustment' for buyers.