Investment Advice

Ever thought of buying real estate as an investment? I would guess that at least 95% of you have, but worry about the risk involved. It's a very valid concern, but you have to know the right areas to invest in and you have to know the right people to help you. A lot of people hear stories about how you can buy houses for pennies on the dollar and turn around and sell them for huge profits. Don't get caught up in the get-rich-quick schemes. I have been in hundreds of cheap foreclosure homes. They look like a great deal on the surface, but most of the time they are in a very bad area and/or in need of many repairs! I have sold a few foreclosed homes where the people got a great deal. It's true that the bank doesn't want the house and has probably never even been in it. That's why the bank is willing to come down on price a little more than the average home on the market. But, the home is still priced to match average home sales in the area. The banks have to meet a certain criteria too, so they can't give a house away no matter how bad they want to get rid of it. It looks bad on their credit if they take a loss on a house. Don't forget that they are the ones who loaned the money and said the house was worth it in the first place. They have to measure up to a set of standards in the banking world in order to maintain their credibility as a lender.

Nevertheless, real estate is still one of the safest and most rewarding investments around. I would suggest doing a little homework on the subject and then give me a call. I am in the business of helping people make the most of their investments. The real estate market may have hit a bump in the road, but the vehicle is still running and the tires are still good. Indiana is still a great place to invest unlike other places in the country.

It's true that now is the time to jump into the game because it's a "buyer's market". But be reasonable when you make an offer. It's okay to make a low offer, but don't be disappointed if the bank doesn't accept it. If you're lucky, a bank might come down about 18%-20% off of the asking price. It all depends on how active the market is for the location that the home is in.

Vacant land is still a great investment and hasn't seen the down-turn that the housing market is going thru. Consequently, it's difficult to find a steal. Commercial buyers are still actively pursuing possibilities and the price of land is going up because of it. Vacant land sales is a good barometer for the future in my opinion! I'll talk more about this in another blog post!

Email or call me if you are interested in investing in some real estate! Don't wait until things pick back up, because then it will be too late!