What a great workshop on Saturday, January 29, 2010 in Las Vegas.
We discussed fitting the puzzle pieces together in order to invest in real estate.
We heard from a CPA and a loan officer and asked the hard questions.
The agenda
How to create a business Plan for investing
How to stay committed to your plan
What is the definition of KASH and how to implement in your business plan?
How to any analyze property
How the buying/loan process works
How does the escrow process works
To receive the information contact Dawn (702) 236-6266
Monday, January 31, 2011
Monday, January 10, 2011
Monday, January 3, 2011
Better Than Expected!
Existing Home Sales - Stable Pricing, Better than Expected Sales
The third quarter gave us an opportunity to see the effects of both slow bank-owned (REO) additions to the market as well as the effect of the homebuyer tax credit (there were three versions). As a result of these factors, demand was pulled forward,
essentially borrowing sales from the future.
In terms of the housing tax credit’s effect on pricing, we observed a temporary bump in the prices of homes on the lower end of the spectrum. Nationally, research has shown that the third version generated an approximate 6.4% growth above trend (FNC,
2010). Our research has demonstrated that locally, prices on large homes (typically greater than 2,000 sq. ft.) did not experience an increase in prices, but more of a slowing of price declines.
The second half of 2009 and early 2010 was a vibrant period, with multiple offers on well-priced homes becoming commonplace. The post-tax credit season has included moderating sales, but has been outperforming our own expectations in the third
quarter.
Potential homebuyers had been craving more inventory, and the third quarter experienced additional inventory due to a combination of moderating sales
and more new placements on the market. This turned into a benefit for home buyers by helping to decrease their search time. With the increase in inventory we have observed a rise in the number days on market. This has yet to manifest itself in a resulting decline in prices for the bulk of homes sold; some housing types continue to see declines, but this is not symmetric for the whole market.
There is some pressure on home prices, but it is moderated by investors recognizing the long-term potentials of the market, as well as the cash flow opportunities yielded by rental properties. The bottom line for a great deal of buyers is that buying is less expensive than renting. This fact is further substantiated by the observed returns from homes sold with tenants in place, where investors have been able to achieve un-leveraged returns in the high single digits and often double digits.
Recognizing these returns, investors have made up a great proportion of our sales, possibly up to fifty percent. This is not the ideal speculator we saw in the past, but rather a majority of investors we encounter have a long-term hold strategy. This has been very beneficial for the marketplace.
The third quarter gave us an opportunity to see the effects of both slow bank-owned (REO) additions to the market as well as the effect of the homebuyer tax credit (there were three versions). As a result of these factors, demand was pulled forward,
essentially borrowing sales from the future.
In terms of the housing tax credit’s effect on pricing, we observed a temporary bump in the prices of homes on the lower end of the spectrum. Nationally, research has shown that the third version generated an approximate 6.4% growth above trend (FNC,
2010). Our research has demonstrated that locally, prices on large homes (typically greater than 2,000 sq. ft.) did not experience an increase in prices, but more of a slowing of price declines.
The second half of 2009 and early 2010 was a vibrant period, with multiple offers on well-priced homes becoming commonplace. The post-tax credit season has included moderating sales, but has been outperforming our own expectations in the third
quarter.
Potential homebuyers had been craving more inventory, and the third quarter experienced additional inventory due to a combination of moderating sales
and more new placements on the market. This turned into a benefit for home buyers by helping to decrease their search time. With the increase in inventory we have observed a rise in the number days on market. This has yet to manifest itself in a resulting decline in prices for the bulk of homes sold; some housing types continue to see declines, but this is not symmetric for the whole market.
There is some pressure on home prices, but it is moderated by investors recognizing the long-term potentials of the market, as well as the cash flow opportunities yielded by rental properties. The bottom line for a great deal of buyers is that buying is less expensive than renting. This fact is further substantiated by the observed returns from homes sold with tenants in place, where investors have been able to achieve un-leveraged returns in the high single digits and often double digits.
Recognizing these returns, investors have made up a great proportion of our sales, possibly up to fifty percent. This is not the ideal speculator we saw in the past, but rather a majority of investors we encounter have a long-term hold strategy. This has been very beneficial for the marketplace.
Welcome 2011
I hope you all had a Safe New Years Day. Its time to get back into the groove.
There is no better way to start 2011 than to begin with supplying your retirement; Real Estate Investing is a sure fire way to do just that.
Las Vegas is the hottest market! With prices as low as they are along with interest rates at the lowest they have been since 1950.
There are properties that you can purchase for $20,000. Rent it out for $500.00 a month. If you had 10 properties that would be $5,000 a month, now. Now lets discuss 10, 15, 20 years from now. Inflation..... at 3.5% a year, you would be charging $800 to $1,000 a month. Calculate that, $1,000 a month times 10 properties that would be $10,000 a month. Thats a nice nest egg, not to mentioned that tax deductions too. Check my website out, www.sharebuildersinc.com or just call to set up an appointment, (702) 236-6266
There is no better way to start 2011 than to begin with supplying your retirement; Real Estate Investing is a sure fire way to do just that.
Las Vegas is the hottest market! With prices as low as they are along with interest rates at the lowest they have been since 1950.
There are properties that you can purchase for $20,000. Rent it out for $500.00 a month. If you had 10 properties that would be $5,000 a month, now. Now lets discuss 10, 15, 20 years from now. Inflation..... at 3.5% a year, you would be charging $800 to $1,000 a month. Calculate that, $1,000 a month times 10 properties that would be $10,000 a month. Thats a nice nest egg, not to mentioned that tax deductions too. Check my website out, www.sharebuildersinc.com or just call to set up an appointment, (702) 236-6266
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