Is the Real Estate Market Really that bad?

Although I keep hearing news about how bad the Florida Real Estate market is, I still don’t beleive it.

1. Yes, it is way tougher to make big bucks flipping a house in 30 days, but not impossible.

2. Yes, there are a record number of foreclosures and still more to come.

3. Yes, money has tightened and it is hard to get people approved for new loans.

…am I nuts, This doesn’t sound that bad?

Let me take a moment to explain myself:

1. I used to make FAST and EASY money flipping houses back in 2004-2006. It was not uncommon for us to have fat checks after a rehab project, but this doesn’t mean that it can’t be done today. As I’m sure you’ve read.. You make your money in Real Estate when you buy. If you stick to the tight MAO formula:

*Maximum Allowable Offer= (After Repair Value x 70%) – Repairs – your profit

You will never have a problem selling a property you bought using MAO.

The tough part is that you will need between 250-400 leads to pick up a deal at MAO. If you’re not marketing you’ll never get one of these deals.

2. Foreclosures ARE the business right now. If you’re not doing Short Sales and REO’s, then you’re out of the loop. With so many people in need of help, you should be able to pick up these types of leads almost effortlessly.

The window of opportunity in the Short Sale market seems to finally be opening. Lenders are working with us now. Realtors and Appraisers are aware of the declining market and we’re all pitching in to get this corrected. Most recent sales on the MLS are either Foreclosures or REO’s.

3. This is the best. Have you forgotten about OWNER FINANCE???? In my opinion this is the single greatest opportunity today. Whether you’re buying or selling this is the perfect market for it.

With so many Foreclosures and Short Sales on the market the folks who actually have equity in their properties can’t sell. I’ve noticed that more owners these days are willing to hold paper (a note) to get rid of their homes. As a matter of fact, I am one of those owners. This year we’ve sold three homes using wrap mortgages or some other form of owner finance.

I guess the point is that this market isn’t really bad, it’s just hard. The best advice I can give you is to learn all you can about owner finance (the Wave of the Future,) and be sure to network with the people that are succeeding today.

P.S.- To learn how we make a living working the Foreclosure and Short Sale market visit:

www.MyShortSalePro.com

P.S.S.- How many people do you know interested in Real Estate investment? Forward them a link to this blog….Thanks!