Comments on: Taking Equities From Over Priced Markets To Growth Markets — What A Concept http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/ Real Estate Investing through Purposeful Planning Wed, 08 Sep 2010 00:45:56 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: BawldGuy http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10684 BawldGuy Fri, 05 Sep 2008 21:41:41 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10684 Jeff -- Your take, is pretty much on the money. We should talk. Jeff — Your take, is pretty much on the money.

We should talk.

]]> By: Jeff http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10683 Jeff Fri, 05 Sep 2008 19:21:42 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10683 Sean - I agree with the article in that it is easier for an all-cash investor with no contingencies to invest in these circumstances. In some case, the selling agents and banks eventually grow weary of the properties falling out of escrow again and again for lack of loan funding and go with the cash offer that is (what I have seen) maybe up to 50% off what a buyer with a loan would be able to pay. Also, there are some properties available right now in SD where getting lending is impossible. I mean, the HOA is in default, the water bill is not being paid, and no lender will take the risk that the property will be condemned and turned into a vacant lot within a year. However, these are, as Jeff Brown mentioned, usually bad neighborhoods. You have to really want to be in it for the long haul. Also, you are not applying any leverage when you go all-cash. You may be able to do more with your money elsewhere. If you really find 80% off an already depressed asking price, and you are well-informed, you could stand to make money, but you will need to poke you head out of the cave with greater frequency than everyone else. Sean – I agree with the article in that it is easier for an all-cash investor with no contingencies to invest in these circumstances. In some case, the selling agents and banks eventually grow weary of the properties falling out of escrow again and again for lack of loan funding and go with the cash offer that is (what I have seen) maybe up to 50% off what a buyer with a loan would be able to pay. Also, there are some properties available right now in SD where getting lending is impossible. I mean, the HOA is in default, the water bill is not being paid, and no lender will take the risk that the property will be condemned and turned into a vacant lot within a year.

However, these are, as Jeff Brown mentioned, usually bad neighborhoods. You have to really want to be in it for the long haul. Also, you are not applying any leverage when you go all-cash. You may be able to do more with your money elsewhere. If you really find 80% off an already depressed asking price, and you are well-informed, you could stand to make money, but you will need to poke you head out of the cave with greater frequency than everyone else.

]]> By: Jeff Brown http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10677 Jeff Brown Thu, 04 Sep 2008 23:18:49 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10677 Hey Sean -- Those deals get talked about from time to time, but I've rarely seen one in either a region I'd want, or if local, a neighborhood worth the effort. They do indeed exist though. Tell ya what I have seen. REO's offering good to excellent locations, but somehow never see the light of day -- uh, the public light that is. Just sayin'... Florida? Not in this or any other lifetime. :) Don't be stranger, Sean. Hey Sean — Those deals get talked about from time to time, but I’ve rarely seen one in either a region I’d want, or if local, a neighborhood worth the effort. They do indeed exist though.

Tell ya what I have seen. REO’s offering good to excellent locations, but somehow never see the light of day — uh, the public light that is. Just sayin’…

Florida? Not in this or any other lifetime. :)

Don’t be stranger, Sean.

]]> By: Sean Carr http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10676 Sean Carr Thu, 04 Sep 2008 21:50:11 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10676 While doing a little research I came across an article published on Active Rain written by a real estate attorney on the topic of purchasing short sales. The author states that banks are often accepting investor offers at 30 % to 80 % below that of retail buyers. (I’m assuming investors with cash on hand). I’ve provided the link below and am interested in what you and your readers are seeing from banks with respect to short sales purchased by investors. The author hails from Florida; perhaps banks are in full loss mitigation mode in some areas but I’m curious if this is becoming a widely practiced policy. I'm still Bearish but do poke my head out of the cave once in a while. http://activerain.com/blogsview/665862/BANK-SHORT-SALE-TACTICS Cheers While doing a little research I came across an article published on Active Rain written by a real estate attorney on the topic of purchasing short sales. The author states that banks are often accepting investor offers at 30 % to 80 % below that of retail buyers. (I’m assuming investors with cash on hand). I’ve provided the link below and am interested in what you and your readers are seeing from banks with respect to short sales purchased by investors. The author hails from Florida; perhaps banks are in full loss mitigation mode in some areas but I’m curious if this is becoming a widely practiced policy. I’m still Bearish but do poke my head out of the cave once in a while.

http://activerain.com/blogsview/665862/BANK-SHORT-SALE-TACTICS

Cheers

]]> By: Jeff Brown http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10674 Jeff Brown Thu, 04 Sep 2008 20:52:07 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10674 Robert -- Boise, in essence, Ada county, is only about 500K population. The land is plentiful, the lifestyle is family oriented, and the employment picture is very good. Think San Diego in 1975 or so. They're at the front end of growth, not the last few innings. That's where my confidence in their future growth comes from. Robert — Boise, in essence, Ada county, is only about 500K population. The land is plentiful, the lifestyle is family oriented, and the employment picture is very good.

Think San Diego in 1975 or so. They’re at the front end of growth, not the last few innings. That’s where my confidence in their future growth comes from.

]]> By: Robert Coté http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10672 Robert Coté Thu, 04 Sep 2008 19:26:33 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10672 Jeff, I understand almost everything you say but I don't fully comprehend why anything in the northern belt is not a yellow caution light. As a comparative example; the population of California was predicted to double by 2050. Now the most that is realistic is half that. It is difficult to hold that Boise is going to double in 13 years. Jeff,
I understand almost everything you say but I don’t fully comprehend why anything in the northern belt is not a yellow caution light.

As a comparative example; the population of California was predicted to double by 2050. Now the most that is realistic is half that. It is difficult to hold that Boise is going to double in 13 years.

]]> By: BawldGuy http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10669 BawldGuy Thu, 04 Sep 2008 15:56:54 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10669 Hey Mike -- Still very high on Boise, as both public/private sector demographic studies show doubling of population there by 2022. Same with jobs, as their employer diversity is impressive. I like parts of Texas. Austin is a favorite, along with the perimeter areas surrounding the MetroPlex of Dallas/Ft. Worth. Billions are pouring into the state. Also looking very hard at a few other Texas regions. The Texas locations we've been taking our clients lately have already shown value increases. Austin's one of them. The next several weeks will find me doing 'boots on the ground' research in both Carolinas, and Georgia. Also beginning our research on Tulsa and Oklahoma City. What areas do you like? Hey Mike — Still very high on Boise, as both public/private sector demographic studies show doubling of population there by 2022. Same with jobs, as their employer diversity is impressive.

I like parts of Texas. Austin is a favorite, along with the perimeter areas surrounding the MetroPlex of Dallas/Ft. Worth. Billions are pouring into the state. Also looking very hard at a few other Texas regions.

The Texas locations we’ve been taking our clients lately have already shown value increases. Austin’s one of them.

The next several weeks will find me doing ‘boots on the ground’ research in both Carolinas, and Georgia. Also beginning our research on Tulsa and Oklahoma City.

What areas do you like?

]]> By: Michael Cook http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/comment-page-1/#comment-10668 Michael Cook Thu, 04 Sep 2008 15:40:58 +0000 http://www.bawldguy.com/taking-equities-from-over-priced-markets-to-growth-markets-what-a-concept/#comment-10668 Do you have growth markets you are recommending right now? You were high on Boise, ID. Anything other areas? Do you have growth markets you are recommending right now? You were high on Boise, ID. Anything other areas?

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