Let us create a 3D eBook for you!
Let us create a 3d Digital eBook for you! DigyCat.com

 

Real Estate Growth: How Long Will It Last?


There has been speculation in the media recently about the fact that real estate will begin to fail and implode as it can only handle so much growth. In my humble opinion these theories don't hold a lot of merit and here is why. First, understand that there are three basic things that undercut the validity of saying that there is a real estate bubble that people are operating in.

1. There is no "international" or "national" real estate market.

2. The real estate market doesn't explode or crash.

3. The market has limited impact on the seasoned investor.

The Real Estate "Market" is an overall view of micro markets nation wide.

When people talk about real estate economics they are usually referring to national or international statistics which in truth are made up of thousands on micro or local real estate markets. So even though you might find a North America wide trend there are still many, many markets which will be completely at odds with the overall numbers.

Real Estate Markets do not "Crash."

We all remember October 19, 1987, known as "Black Monday." The stock market lost 22% of its value in one day - what investors call a "crash." History points to times which real estate values have taken 22% hits in certain cities and in pockets within cities. However, no real estate market dropped 22% in one day, one week or even one month. In fact, the real estate "crash" of the late 1980's took several years to bottom out in most markets.

Keep in mind too the overall performance of the real estate market you are investing in. Those of you who have been active in the Edmonton market the last few years might think that the market is in a slump or downslide, when in reality the numbers they are recording are far above what the average of the last decade show.

The market has limited impact on the seasoned investor.

No matter if you are holding properties long term or doing a quick flip, the local market changes will not affect you in a major way if you are careful. For example if you are doing long term hold revenue properties there is little to no chance that the market will not increase over the term of your holding period. If you are on the other hand flipping properties then you will buy at a higher price in a strong market and will move the property quickly, or get a better price which will help you in higher holding costs in a softer market.

Now, just as a side note for those of you looking at holding properties for future value considerations. If you are buying negative cash flow properties with the expectation of equity increase over 2-3 years then, in the words of a recent article that I read, SHAME ON YOU! If you are using investor's capital to close these deals and the value doesn't increase what are you going to do? What if the value decreases in that time? You are putting investor's capital at risk and as far as I am concerned are acting as an irresponsible speculator, not a seasoned real estate investor!

Steele Tolman teaches people how to successfully invest in real estate through the "Zero Down In Canada Real Estate Investing Home Study Course," web mentoring and seminars. http://www.motivagroup.com


MORE RESOURCES:

Real Estate - Google News

Monmouth Real Estate Investment Corporation Reports 1st Quarter Financial Results - MSN Money


Monmouth Real Estate Investment Corporation Reports 1st Quarter Financial Results
MSN Money
8, 2012 /PRNewswire/ -- Monmouth Real Estate Investment Corporation (the Company) MNR reported funds from operations (FFO) of $7450000 or $0.20 per share for the three months ended December 31, 2011, as compared to $6596000 or $0.19 per share for the ...

Former real estate broker found guilty on 12 counts of forgery - Journal and Courier


Former real estate broker found guilty on 12 counts of forgery
Journal and Courier
5:55 pm A Tippecanoe Circuit Court judge has issued guilty verdicts for 12 counts of forgery in the trial of a former Lafayette real estate agent accused of falsifying sales disclosure records in order to avoid property taxes.
Real estate broker faces felony chargesWLFI.com

all 6 news articles »

Chris Griffith: Selling real estate of the dearly departed - Naples Daily News


Chris Griffith: Selling real estate of the dearly departed
Naples Daily News
By CHRIS GRIFFITH The only thing certain in life is death and taxes … and probably how emotionally taxing death is when liquidating real estate. Selling real estate is stressful enough for some folks without compounding it with the emotional burden of ...

and more »

It's time to kick off the local real estate market - Half Moon Bay Review


Property Magazine

It's time to kick off the local real estate market
Half Moon Bay Review
If you're a faithful reader of the Half Moon Bay Review real estate section, then you are familiar with “white death,” a term that Realtor Steve Hyman has used to describe the slow winter real estate market between Thanksgiving and Super Bowl Sunday.
The Real Estate Book Includes Free Agent Mobile Websites in Advertising PackagesPR Web (press release)
REALTOR(R) University Granted Approval to Offer Master of Real Estate Degree ...MarketWatch (press release)
Web Winners: Navigating real estate industryNews & Observer
PR.com (press release) -Property Magazine
all 17 news articles »

Local real-estate developer shares his love of Mardi Gras - Houma Courier


Local real-estate developer shares his love of Mardi Gras
Houma Courier
Local real-estate developer SP LaRussa walks through the Krewe of Hercules' den making sure that the krewe is ready to roll Friday night. By Eric Heisig Local business owner SP LaRussa, 70, is known to many as “Mr. Mardi Gras” around this time of year.

and more »

Houston-Based Real Estate Developer Closes More Than $75 Million in Healthcare ... - MarketWatch (press release)


Houston-Based Real Estate Developer Closes More Than $75 Million in Healthcare ...
MarketWatch (press release)
Medistar Corporation is a full-service real estate development company that specializes in the design, development, financing and construction of healthcare real estate. The company focuses on medical office buildings, integrated medical plazas and ...

and more »

Tossed® Hires Real Estate Veteran A. Michael Toroyan as Chief Development Officer - Sacramento Bee


Tossed® Hires Real Estate Veteran A. Michael Toroyan as Chief Development Officer
Sacramento Bee
Toroyan, a 20-year veteran of the restaurant real estate, and franchising, will bring even greater momentum to Tossed's strong and growing franchise development efforts across the US Toroyan comes to Tossed Franchise Corporation from a previous post as ...

and more »

Cole Real Estate Investments Executes Nearly 640000 Square Feet in Retail ... - San Francisco Chronicle (press release)


Cole Real Estate Investments Executes Nearly 640000 Square Feet in Retail ...
San Francisco Chronicle (press release)
Cole Real Estate Investments (Cole), one of the nation's leading investors in high-quality, income-producing retail, office and industrial real estate assets, announced it signed leases totaling nearly 640000 square feet at Cole-related retail ...

and more »

John Waggoner column: REITs might be good investment to land - Appleton Post Crescent


John Waggoner column: REITs might be good investment to land
Appleton Post Crescent
Peculiarly, the commercial real estate market isn't quite as depressed. In fact, funds that invest in real estate investment trusts, or REITs, rose an average 7.5 percent last year, beating the Standard & Poor's 500-stock index's 2.1 percent gain.
Partners Real Estate Investment Trust closes public offeringCanada NewsWire (press release)
NorthWest Healthcare Properties Real Estate Investment Trust announces ...DigitalJournal.com (press release)
Best Performing REITs in 2012Seeking Alpha

all 15 news articles »

Real estate developer says he plans to make cash bid for Philadelphia's 2 ... - Washington Post


CBS Local

Real estate developer says he plans to make cash bid for Philadelphia's 2 ...
Washington Post
PHILADELPHIA — A wealthy real estate developer said Tuesday he and four partners plan to make an offer to buy the city's two largest newspapers, whose downtown offices he already owns. Bart Blatstein said he plans to pursue an acquisition of some or ...
Developer Blatstein seeking to buy Inquirer, Daily News companyBizjournals.com (blog)

all 168 news articles »

Click here for Best Buy In-Store Pickup

StreetSideAuto.com

Looking For Royalty Free Photos for your Website, Business or Advertising?

My Life Through The Lens

List4Sale Domain Is For Sale - $10,000 For Enquiries eMail Us

© www.List4Sale.biz 2011

home | site map | links

eXTReMe Tracker