Posted by Gene on April 24, 2006 at 19:42:10:
IMO buying at the top with prices starting to go down is not a good idea.
All the investors I know are waiting for prices to drop. Then only people I hear saying that now is a great time to buy is realtors. But they always say that.
The key is to buy LOW and sell HIGH. The only way I am buying anything right now is if…
1 - it will cashflow
2 - if I can buy for more than 30% off and I think I can flip it within a couple weeks.
Gene
Best strategy in this declining CA market??? - Posted by Jerod
Posted by Jerod on April 21, 2006 at 21:58:34:
Who’s course or which R.E. investing strategy will work the best for my declining CA market? I live near Sacramento. I don’t see any way that cashflow is even possible in this market even with the decline, so buying to hold is out. I know you make your money when you buy. But is it even smart to consider trying to buy to retail or wholesale in this market? If not what strategy do you reccomend?
Jerod
Re: Best strategy in this declining CA market??? - Posted by CS
Posted by CS on April 27, 2006 at 15:04:33:
Email me and we can talk about investing in other Emerging Markets throughout the country instead of waiting it out in CA. What if you invested in 10% appreciation markets all of the time instead of “Buy and Hold”? We do that…
Re: Best strategy in this declining CA market??? - Posted by Gene
Posted by Gene on April 24, 2006 at 16:51:26:
Trying to catch a falling knife can hurt.
I am in CA. I sold many properties last fall and I am waiting for the deals. It might take a couple years for the market to hit bottom. That is ok, I am patient.
Forclosure rates are rising. My ads have also resulted many more calls than in the past. I am very causious right now. I think prices could drop a lot (40%) and I don’t want to be holding the bag when the bottom falls out.
So in summery, the stratedy that I recommend is: patience.
Gene
Re: Best strategy in this declining CA market??? - Posted by Luke Hoppel
Posted by Luke Hoppel on April 21, 2006 at 22:57:00:
I would go with pre-forclosures and contract assignments.
Re: Best strategy in this declining CA market??? - Posted by Innovator
Posted by Innovator on April 21, 2006 at 22:23:05:
As you know, I’m for doing subject 2 and an NEHT (land trust). I don’t recommend L/O (but a lot of investors on this board swear by them), but if you’re comfortable with the risks then do them.
If I was in your market that is where I’d start. Call FSBOs and ask them if they would be willing to take payments, and deal from there.
Re: Best strategy in this declining CA market??? - Posted by Jerod
Posted by Jerod on April 24, 2006 at 17:12:33:
Thanks for the advice Gene. Are you in NorCal or SoCal? What type of deals do you do (Flips, lease options, buy and hold?)
Jerod
Re: Best strategy in this declining CA market??? - Posted by Gene
Posted by Gene on April 24, 2006 at 17:17:11:
Jerod,
I am in Central Ca (Kern County).
I do any kind of deal I come across…Commercial NNN, Rehabs, lease options, lonnie deals, Land/home packages…pretty much everything.
Gene
Re: Best strategy in this declining CA market??? - Posted by Jerod
Posted by Jerod on April 24, 2006 at 18:05:52:
Everyone says that this is the best time to buy because properties are declining and it is a buyers market, which creates motivated sellers. What’s your strategy or thoughts about this? (I emailed you this question too. I’m not sure where you’re reading the messages at.)
Jerod