The residential REO market has changed. There’s less inventory than there was in 2008 to 2012. There are several points I want to make here about what’s going on with the current REO (Bank Real Estate Owned) market when it comes to investors who are purchasing REOs for buy, fix and flip and buy, fix, hold.
Between 2007 to 2011, banks were giving away their foreclosure resales at approximately half price because the REOs were destroying the banks’ balance sheets. They were terrified that the United States government (Controller of Currency) would come in and shut them down. If you remember, we were watching on the news and on the internet in 2008, 9, 10, 11 and 12, when, four, five, six hundred banks were seized and closed a year. And that was because their portfolio of residential bad loans. The banks’ sub-prime loans, \were taken care of by the federal government’s $7 hundred billion bailout.
A lot of real estate agents, brokers, and “gurus” concluded that, because there were great ...
Are you a real estate investor who is trying to make money with REOs and Buy-Fix-Flips?
If so, are you frustrated with fierce competition from other investors, the small margins you’re making on deals, and how the banks are limiting your success?
I want to address the 3 traps that keep residential real estate investors, just like you, feeling fearful, frustrated, and caught in a feeding frenzy. And you don’t need to be, because there is a better alternative.
What are the 3 traps? I call them the REO Rat Race, the Buy-Fix-Flip Fiasco, and the Cash-Credit Crunch.
Check back soon; I'll talk in depth about each of these traps, 1 each week.
Want to find out how easy it is to find cash-flowing commercial real estate in 3 easy steps? Take my free mini course now. Absolutely no obligation.Â
Dr...
I was so honored to be interviewed by Tom Antion (Internet Marketer and Multi-millionaire)
You can watch it here: Screw the Commute PODCAST
Want to find out how easy it is to find cash-flowing commercial real estate in 3 easy steps? Take my free mini course now. Absolutely no obligation.Â
Dream Bigger! Succeed Faster!
Take Care,
~Doc Haller
Economics is not an exact science whether applied to commercial real estate or any other part of a changing economy. Inflation is just one illustration. How much inflation will we have during the next five to ten years and when will it happen? Who can be sure how inflationary the economy will be in precise terms? Much like the weather, economies have a way of suddenly taking unexpected twists and turns.
Economic analysis of a commercial property may seem daunting to a new investor, but you can learn to mitigate your risks when you discover where to go for the needed information. Read Local Business Journals, and talk to folks at the Chamber of Commerce. Join real estate groups and talk with other investors. Check out not only historic and current vacancy rates but also other factors such as space available for development.
The more you know, the more prepared you’ll be to begin your own economic analysis of potential investments, and what to do in case of economic changes.
Want to f...
Check out the Forbes Newcomer Billionaire List for 2015. Number 1 is MEDIA and ENTERTAINMENT. After that, the clear unequivocal 2nd is REAL ESTATE. And it is not residential; it is commercial. Period. Not just in the United States, but around the whole world. Many billionaires from the United States to China, from England to Canada come from commercial real estate. These are the facts, anybody that tells you they create wealth from one-off deals is probably stretching the truth. And when you're doing 2, 3, 4, and 5 buy, fix, and flip deals and trading your time for another job, you’re probably working a lot harder than you need to be. Aren’t you trying to get out of your J-O-B to have real time and financial freedom?
If you want massive passive income to acquire resources that will make you wealthy over the long-term; commercial real estate is, always was, and always will be the primary source to make people wealthy. As a matter of fact, it has been for ...
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