Implosion

Ok the real estate market is just about to implode. One of the reason that properties are not worth as much is because we cannot get financing. I talk to a variety of bankers every day. I sell for them, I manage for them, I help them place loans, I borrow for them, two of them are on my board of directors, one is in my forum, heck my brother is even a banker. At the end of the day, banks are simply not lending.

I am of the opinion that you will see the prices for rental houses continue to erode. To the point that there will be lots more land contracts and houses going for $5,000 that need $5,000 in work and rent for $600 a month. I heard someplace that there is not a present or future there is just the past repeating itself.

There was an extended period of time where my clients and I were buying houses for $2,000 to $5,000 and renting them for $800. These days are back. Every single day I have a client or associate saying they are throwing in the towel. If I have never said this before, I will say it again. If you have the money you should be buying like crazy. Start by offering 10% of the sales price. I am sure you will get some takers.

This entry was posted in Attitudes, Business, Education, Family, Financing, Friends, Market conditions, Nebraska Real Estate, Omaha Economy, Property Management Omaha, Real Estate, Real Estate Expert Omaha, Real Estate Omaha, Rental properties. Bookmark the permalink.

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