Posted by michaela on July 17, 2002 at 13:17:41:
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price range - Posted by Lovette
Posted by Lovette on July 16, 2002 at 17:43:53:
If most of the houses that are 3 bed room are priced near 125,000 and up then is the 2 bedroom houses a good thing to go after. And with bad credit , what are some good ways to structure some creative financing strategies just to get started. in order to build some money to handle credit? how do I get info on REO and gov’t forclosed property?
Re: price range - Posted by michaela
Posted by michaela on July 16, 2002 at 21:51:35:
lovette,
you make your profit when you buy, that means you have to know upfront what your market it and how much you can turn the house for and then work backwards (- purchase, fix-up, holding, profit etc). knowing your market is a ‘must have’!
example: the neightborhood i live in in atlanta is historical. i moved here 12 years ago and it were mainly ‘urban pioneers’, because most of these homes needed a lot of work. the area was just turning. 6-7 years ago it started becoming really hot. buyers were mainly straight and gay couples, because the school here was really bad, so, 2 bedroom homes worked fine.
well, the straight couples lived here for a year or 2 and then had babies, so then there were so many babies, that the parents got together and pushed to have a new elementary school / a charter school. now the gay couples, that have been here a few years are taking their profit (appreciation of 25-30% per year for several years) and moving somewhere else and because of the new school you have families moving in. suddenly the values on the 2 bedrooms dropped. (2 years ago +$270 - now about $ 230.-) people need larger homes. overall the values have not declined here. just the smaller homes.
so you see, you have to know the market and know what’s selling in the location or you may get bad surprises. you don’t want to buy 2 bedrooms in a neighborhood, that’s full of families with children, unless you can get a great deal, and then add on, to make it a larger home. food for thought.
michaela
There you go again. - Posted by Ronald * Starr(in No CA)
Posted by Ronald * Starr(in No CA) on July 17, 2002 at 13:03:05:
Michaela–(GA)-----------
Giving good information in an easy-to-understand way.
What an interesting story you made it. I’ll bet that gives Lovette something to think about.
Good Investing and Good Posting**********Ron Starr***********