Tweet

What If I Wait For the Market to Improve?

Guest post by: C.J Lauria

Article Overview: Whether you buy foreclosures, short sales, or any other type of investment properties, these will likely be distressed in one form or another. Otherwise, your competition will be intense. In my real estate investment mentoring program, I teach that the better a house “shows,” the quicker and higher it will sell. My students know how I feel about properties that look and smell poorly. They will tell you that it is the ‘look and smell of opportunity.’

What If I Wait For the Market to Improve?

This expression is common among most sincere folks contemplating starting their own real estate investing business. In this article, I want to discuss this mindset and analyze the pros and cons therein.

As with any new venture, it is always wise to first weigh the costs involved. Furthermore, without a plan our vision of financial freedom through real estate investment could be doomed from the start. For that reason we want to listen intently to what any real estate investment expert might advise. Consider:

If we apply the “buy low, sell high” principle we must buy in a market climate when the majority don’t see the need to buy. The truth is that your decision to buy would have to be the unpopular decision at the time. This is just as true when a real estate investing expert chooses to sell. They may feel that it is time to sell (high) while the masses are still in buying mode.

Whether you buy foreclosures, short sales, or any other type of investment properties, these will likely be distressed in one form or another. Otherwise, your competition will be intense. In my real estate investment mentoring program, I teach that the better a house “shows,” the quicker and higher it will sell. My students know how I feel about properties that look and smell poorly. They will tell you that it is the ‘look and smell of opportunity.’

Of course, it takes vision to identify opportunity amidst clutter and filth. However, learning this technique will make you a lot of money. In my business, we wholesale properties in their “as-is” condition to savvy cash buyers who have a trained eye like we are discussing. If a cash home buyer wishes to acquire any of our properties my students are taught to be coaches for those who have not yet learned to identify opportunities out of distressed real estate.

The “everybody’s doing it” idea is strong reason to do the opposite. When the U.S. economy took a “bearish” turn I remember Warren Buffet saying that it was ‘a good time to get some great deals.’ Rather than whine about falling values, the REI experts get more aggressive about acquisitions, knowing that the right time to sell at a profit will eventually come.

Now is a great time avail oneself of the many distressed situations out there to purchase and hold properties as rentals for at least 12 months to avoid short term capital gains. The market will eventually turn around but then the competition for properties will be fierce. Don’t wait. There’s no time like the present.

Related Articles
  Customer preception of waiting
  The market has no taste
  Leveraging Retail Technology
  Securing Car Insurance After An Accident
  Perfection Stinks!
  Marketing in a Recession
  5 Trading Rules to Improve Your Stock Market Results
  Start Now, Don't Wait
  Ask the Right Questions to Qualify Your Business Niche
  8 Things that can lead you to start a Coaching Business
  Sales Success Tip-Overcome Your Biggest Obstacle
  Getting vs. Taking
  Are You a Leader or an Enabler?
  Secondary Market Programs
  Replace ‘wait and see’ with ‘go and do’
  Words Are Cheap
  Probing for Success
  Small Business Marketing: 8 Cross-Selling Tips to Increase Your Sales
  Entrepreneurs – Want To Increase Your Profits Without Increasing Your Costs?
  Advance or Retreat

Article Tags: investment properties, real estate investing, real estate investment, wholesale buyers



Related Forum Posts
Re: Quote of the Day - "If you love your work, you'll be out the - Smiles, what day is this? Wait I do have a calendar here somewhere, I see Sunday - enjoy yours
Re: How should i promote a new website? - ignore this message IF it's already been stated. I haven't had a chance to read all the replies and i have to jet from the office... I suggest marketing where ever your Target Market congregates. If it's a forum of concerned parents - go there. Strike up a deal with the forum owner (JV) and have him promote it to the list of members (Integration Marketing). If you want to go with Forums then i would partner with a parent who is a frequent poster/moderator on a particular Target Market Forum and have him/her add your link to their signature. That was just a thought but it's not as intense once you get buy in from the Forum owner or high ranked poster/moderator. Hope that sparks some new ideas.
Re: Ideas For Business - Hello Lucy, you may consider this list for Ideas for Business: (Top 23 list) Rank Company 1 Google 2 Genentech 3 Wegmans Food Markets 4 Container Store 5 Whole Foods Market 6 Network Appliance 7 S.C. Johnson & Son 8 Boston Consulting Grp. 9 Methodist Hospital Sys. 10 W.L. Gore & Associates 11 Cisco Systems 12 David Weekley Homes 13 Nugget Market 14 Qualcomm 15 American Century Invest. 16 Starbucks Coffee 17 Quicken Loans 18 Station Casinos 19 Alston & Bird 20 QuikTrip 21 Griffin Hospital 22 Valero Energy 23 Vision Service Plan
Re: Do Women Play the Stock Market? - I also play Stock Market.....
Re: What I Enjoyed Reading This Week - Oct 14 - I really enjoyed the Improve your vision with an app article in the New Scientist. I don't wear glasses and think a lot of people cripple their vision by wearing specs from an early age instead of exercising their eyes... Nice to see someone has developed an ap that will help.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

Life, Conflict and Work

How To Improve Your CTA (Call To Action)

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.