Quote:
Originally Posted by Jim Sims
Still goin' down; many institutions and individuals will hang on until it is too late and they'll "drown in the suction".
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I must agree the market will continue to spiral down. Commercial RE is not a place to be dipping toes. However, with regards to residential RE, I believe there is safety when
1) rents easily support debt (cap rates well above 10)
2) purchase price is at or near build cost
Perhaps one should not be gorging out now, but a few nibbles here and there can't be bad.
Quote:
Originally Posted by GDSOB
and long enough to forget the fond memories of managing over 70 sec 8 tenants!
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Seventy Section 8 tenants. Not on my enemies I would wish it.
Quote:
Originally Posted by Danimal16
For those with more expertese than I have, what is your take on areas of the country that are doing better? I have property in Park City as well as Saint Helens Oregon and they are doing well. What other areas in your opinions are doing ok and should be watched? It seems to me that there are going to be a ton of opportunities out there (if credit eases) in the next 12 to 24 months. I am curious of your thoughts.
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Truly hit and miss, and above all: location, location, location. Within each city, you can have the dives and the gems. Deals I never saw for years, much less 2 months ago, are suddenly popping up like fire. Who's to say Tennessee is like any other part of the country for deals? It does seem like Countrywide has been quite aggressive with pricing. They may have inventory issues.
Quote:
Originally Posted by mbrouder
That home's two previous sales were $670K in '06 and $281K in 97. My buyer paid less than the guy in 1997.
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Exactly why I started this thread. The prices on some properties are jaw-dropping. A person with cash and the eye for deals can hit massive home runs. Today, the carpet guy told me of a deal from his sister realtor: house that would appraise for $175k with an asking price of $64k (needs $4-7k in repairs). He, like most other folks, are really cash strapped (too many toys and too little income). I empathize with him, but it's good for me, maybe.
