I get calls regularly from investors, or even from more traditional buyers, who want to “beat the system”. They’ve heard about banks giving away their foreclosure properties for pennies on the dollar, or about short sales being offered for ridiculously low prices. Unfortunately, it’s not that easy.
Real estate investing is more competitive right now than at any time in history. There has been so much media coverage (including TV shows like “Flip this house” and many others), and so much internet access to homes available, that there aren’t any secrets anymore. More investors = more demand = prices rise until profit margins get very thin.. Simple economics.
Jonathon Dalton wrote a post yesterday about the big real estate auction last month which illustrates this point beautifully.
Your looking for value Realtor,
Chris Butterworth
[tags] real estate auction, investing [/tags]
Chris Butterworth is: Realtor. Analyst. Husband. Father. Writer. Amateur Photographer. Triathlete. Soccer Dad. Big fan of technology, efficiency, and the Arizona Wildcats.
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Fair point, Chris. And I’m not anti-investor.. Good research, due diligence, patience, knowledge, experience, and guidence can make the difference between a very profitable investment property and a big mistake.
My gripe is targeted more towards the people who don’t do any of the above, but “know that it’s a buyer’s market” and they want to take advantage of it..
By the way – I had never seen your blog before tonight, but I really like it. Great info. Good work.
Investors and speculators are two different things. Welcome to Jay Thompson’s team.