Ok, I’m just wondering where the minds of my fellow entrepreneurs/investors are at. After choosing your vote above, please explain why you feel a recession won’t effect your real estate biz, or why you think it will effect your real estate biz. If you don’t invest in real estate because of the market, then why?
People are always going to need a place to live regardless of what the market is doing.
Tampa is supposedly one of the worst markets right now, and I’m finding great deals and getting them sold no problem.
Seems to me, the guys who have been in the game for a long time are buying now. They are buying cheap, but they are buying.
One of my buyers has been investing for 20 years. He’s about to purchase his 3rd deal from me in less than 3 months.
There is a tremendous amount of opportunity out there right now.
Or, you could just follow the herd, and wait til “The market comes back.” Whatever that means.
Steph
Depending on what type of exit strategy that you are into using the real estate market may or may not effect you
For my own business as a real estate wholesaler it really doesnt matter what the market is doing, I just got rid of one the other week that I bought for 12,000 and sold for 30,000 which is a decent profit.
One thing that I would highly recommend for the newbie wholesalers out there is that you put a very strong emphasis on finding buyers because in a slow real estate market buyers are more scarce and good deals are more frequent.
Cold markets have great opportunities to make money. When property sells slowly is when you get the really morivated sellers.
It doesn’t matter how cold the marklet is, there is a buyer if the price is low enough.
This is an unusual market, where interest is low, prices are low, and buyers have tons of money.
A normal down market is one where interest rates are high, so money is expensive, and nobody has any money to buy, even when they do see a good bargain.
Buyers have money. They just aren’t buying while they wait to see what happens to prices. But offer them a good enough deal, and they will buy (with the exception of places like bad neighborhoods in Detroit and a few other large cities, where property is already being given away. You can’t get too much cheaper than free)
I am having problems already. I have 2 townhomes in Miami that I had to remove the tenants cause they felt no need to continue to pay rent. And now I am having a very hard time finding a tenant. I am feeling it already
I believe you will have more properties to buy. So supply side is up. You have to pay attention to buying. Pay the bottom dollar. If you do repairs, watch your budget. And when you sell, you might have to offer seller financing. (banks are getting tough). And when you need cash, sell the note. It helps if your buyer has a 600+ credit score.
Best of luck.