[JM95]

Thank you, that was very informative.

Originally Posted by fishordie

Hmmm,

I thought I already replied to this but I guess not. I do not wish to say exactly where the majority of my present investment monies are going to as I am still buying but I will say it is in Southern California, from 3 - 7 miles inland from the Coast, in a very moderate climate, with a mix of ethnicities and neighborhoods. The infrastructure such as shopping, markets, parks, etc. have been updated within the last 10 years or less and there is a very high presence and activity level of various churches (I am not affiliated) whose flock actually perform community watches and clean ups every weekend and some weekdays. Though the homes are as much as 30 - 40 years old they are well maintained, for the most part and run anywhere from 130 - 160 thousand for an REO with cash. Those requiring loans are paying as much as 40% more for the property if the banks will even consider it. It is one of those areas I discovered by accident through my Ex-wife and have been happy as a clam. The rents on those price ranges are between 1200 and 2800 per month. The latter being a semi recovery house I set up that nets around 2800 per month.
Unbelievable investment if you know what you are doing and is a huge benefit to the participants. The others are rented to nice families who stay for long periods of time and are very stable. Average rent of those units is and has been around 1700 per month.

As a note these places were sold only a few years ago for over 3 times the prices I am paying.

I am sure this area is not the only one of its kind in the states and it just takes time and effort to locate them. If I had listened to the so called Real Estate Professionals I would have been broke long ago instead of being able to make these kind of investments. As is being noted, there are no guarantees in todays Real Estate Environment. Nobody knows the future especially those who make their living from the buying and selling of properties by others from whom they make a commission. Yet in my opinion and it is just my opinion todays environment will go down as one of the best buying opportunities we have seen in decades however it will also be a time where only the really informed folks, who buy only at the right price, will be making those profits and not where everyone makes money just because they enter the market. My only advice is beware of anyone using statistics to sell properties.

The investor/buyer must make themselves aware of the area they are farming by speaking with home owners and renters in the immediate area. Weekends, when folks are mowing their lawns or kids are playing in the streets is a perfect time to introduce yourself as someone interested in buying one of the properties in the area. Ask the appropriate questions and get the answers from the folks who live there. You might be surprised at how nice people are if you are nice to them.

Good luck to all

FOD

[adolpho]

Originally Posted by airics

gold and stock market.. the next bubbles to burst.. gold will be at 500. within the next 24mos.

Soprano had a great chart showing the history of gold prices. It can drop faster than it goes up. Look back at the early 80s. Gold was at about 700, but within a few years the Dollar was super strong and Americans were going to Europe and not feeling cheated. I remember a friend bought a nice leather coat in West Germany, and it was 60 USD.

[007 license to sell]

Here is great news for anyone thinking of purchasing a property in our area.
Not so good for any one trying to sell that isn't a distressed property.

[SIZE=2]The 10 Most Undervalued Housing Markets[/SIZE][SIZE=2] - In 242 of the 299 largest U.S. housing markets, homes are selling for prices that even bankers think are less than fair market value, according to a newly released 2010 report compiled by IHS Global Insight and PNC Financial Services. The judgment is based on a comparison of median home prices, local interest rates, population densities and income, plus historic premiums or discounts. According the study, Las Vegas is #1 most undervalued market at -41.4%.
[/SIZE][SIZE=2][SIZE=1]http://www.realtor.org/rmodaily.nsf/pages/News2010012701[/SIZE][/SIZE]

[adolpho]

Originally Posted by 007 license to sell

Here is great news for anyone thinking of purchasing a property in our area.
Not so good for any one trying to sell that isn't a distressed property.

[SIZE=2]The 10 Most Undervalued Housing Markets[/SIZE][SIZE=2] - In 242 of the 299 largest U.S. housing markets, homes are selling for prices that even bankers think are less than fair market value, according to a newly released 2010 report compiled by IHS Global Insight and PNC Financial Services. The judgment is based on a comparison of median home prices, local interest rates, population densities and income, plus historic premiums or discounts. According the study, Las Vegas is #1 most undervalued market at -41.4%. [/SIZE]
[SIZE=2][/SIZE][SIZE=2][SIZE=1]http://www.realtor.org/rmodaily.nsf/pages/News2010012701[/SIZE][/SIZE]

I thought banks not knowing how much houses were worth, cased this problem to begin with.

[fishordie]

Originally Posted by adolpho

I thought banks not knowing how much houses were worth, cased this problem to begin with.

Adolpho,

BINGO!!!!!!! You just made my point. Statistics from the industry have a distinct bias and have been the down fall of many an investor especially in the last few years. Someone noting the banks think these properties are undervalued.... Sheeeesh. Certainly no bias there and of course the Banks track records give them a certain air of reliability.... I think not. Free thinking will be a blessing to any looking to invest.

FOD

[Gomezy3k]

Originally Posted by fishordie

Adolpho,

BINGO!!!!!!! You just made my point. Statistics from the industry have a distinct bias and have been the down fall of many an investor especially in the last few years. Someone noting the banks think these properties are undervalued.... Sheeeesh. Certainly no bias there and of course the Banks track records give them a certain air of reliability.... I think not. Free thinking will be a blessing to any looking to invest.

FOD

I agree, the banks pretty much suck.... I have been trying to buy a home with a VA loan and have been having one heck of a time... Seems like false advertising, the banks list a home for $X and then they wait and see who will bid the highest to get it.

I finally got a house, but it was a privately owned one, the banks homes are out unless you have lots of money to bid.

[ocean2026]

mod cut:

007 as far as those undervalued markets -they are also the markets that have declined the most except I didn't see South Florida there. That Realtor publication should have provided the entire story instead of digesting it for us as I'd like to see how all the markets fared- a link would have been nice.

[SHEPNYC]

Originally Posted by ocean2026

mod cut:

007 as far as those undervalued markets -they are also the markets that have declined the most except I didn't see South Florida there. That Realtor publication should have provided the entire story instead of digesting it for us as I'd like to see how all the markets fared- a link would have been nice.

Here's some detail on the story:

America's Most Overvalued Cities

[007 license to sell]

Analyst: Las Vegas home prices will increase 3 percent this year
Analyst: Las Vegas home prices will increase 3 percent this year - Thursday, Feb. 4, 2010 | 12:47 p.m. - Las Vegas Sun

[fishordie]

Originally Posted by 007 license to sell

Analyst: Las Vegas home prices will increase 3 percent this year
Analyst: Las Vegas home prices will increase 3 percent this year - Thursday, Feb. 4, 2010 | 12:47 p.m. - Las Vegas Sun

Yo 007,

Thank you for posting this. My responses are already noted in the responses by readers section to be found under the column. Of particular interest was the responder who Looked up this prognosticator on line and noted his has been predicting an upturn in Vegas since 2007. Another insider without credibility. As I continue to note, educate yourself and do not listen to those industry experts spouting so called facts and figures. As a note, the writer gave absolutely no reasons for his logic thus making his statements just opinions which as we all know opinions are like rear ends. We all have one but most of them smell.

FOD