Norada Real Estate Investments

Archives for August 2009

Best US Real Estate Markets For 2009

by

The hottest buyers housing markets are places you may find comfort in the worst housing crash since at least the Great Depression. The top 10 buyers markets listed by Housing Predictor at mid-year are markets that aren't necessarily big arts and entertainment centers, mostly found in smaller communities.

Amarillo, Texas takes the first position as the nation's top buyers market in 2009 with the highest likelihood of housing inflation over the next few years. Austin, Texas and Tucson, Arizona are the largest metro areas to be named to the list possessing the highest probability of growing through the recessionary economy over the next few years. As a high-tech hub, Austin will have what it takes to not only sustain the downturn but see home values inflate.

All 10 markets hold the promise of prosperity in the near future. In the current economic environment there are few areas of the country that will see appreciation this year. The markets named here represent cities that are the most likely to experience housing inflation over the next few years, despite the downward economy and are the best places forecast to buy real estate to make a profit.

The financial crisis dealt a severe blow to the national economy that will take many years to overcome. Unlike any other downturn in real estate since the Great Depression, markets have seen home values decline at record levels. Times have changed as a result, and real estate inflation will take years to return in most areas. Investing for the long term, considered to be 10 years or longer is the best protection for those who choose to take the risk.

The following list of high potential real estate markets may not appreciate in the short term, but have the highest likelihood of long term appreciation making them ideal for purchasing .

[Read more…]

The Reluctant Investor's Lament

by

Are you still waiting for that perfect opportunity to invest in income producing real estate?  How many opportunities have passed you by while waiting for that perfect opportunity?  The simple fact is there are good opportunities all the time.  Read the following poem written in 1917 and evaluate your current perspective.

I hesitate to make a list
Of all the countless deals I've missed:
Bonanzas that were in my grip-
I watched them through my fingers slip.
The windfalls, which I should have bought
Were lost because I over-thought:
I thought of this, I thought of that;
I could have sworn I smelled a rat.
And while I thought things twice,
Another bought them at the price.
It seems I always hesitate,
Then make my mind up much too late.
A very cautious man I am.
And that is why I never buy.

[Read more…]

Real Estate Needs Inflation

by

In the past 36 months Real Estate has seen a decrease in its average mean value, depending on your metro area, an average of 12 to 32 percent.  This is referred to as deflation (in economics, deflation is a decrease in the general price level of goods and services). Deflation is not necessarily bad for everyone, especially for new market buyers that need a more affordable housing price in order to purchase.

Ultimately, a stable market economy strives for price stability.  In Real Estate this is usually meeting or slightly beating the United States inflationary rate (the opposite of deflation and normally measured with the use of a publicly posted index called the Consumer Price Index).  A stable Real Estate market typically lasts many years and almost always follows a Real Estate Recession.  In fact the bulk of years within the seven to ten year cycles, represent a stable Real Estate Market.  Therefore, 80 percent or more of the historical annual appreciation in real estate has valuation increases at or just above inflation.

For those of you who are business people, you likely seek investments that are stable, predictable, and going up in value each year.  The conservative investor should consider buying during Real Estate market cycles that hold a stable future with somewhat predictable results (i.e. less speculative).  Such a market is likely to exist for the next 5 years.  For those of you sitting on the sidelines wondering when to enter this market, it is time for you to jump in, prior to any inflation, and thereby purchasing at the bottom.  Anyone who classifies themselves as a conservative low risk should certainly enter the market right now.

What about HYPERINFLATION?

[Read more…]

Atlanta Investment Property – Only $5,000 Down!

by

Atlanta, Georgia Investment Property

We are pleased to offer investors our latest great deal.  You can buy Atlanta investment property with only a $5,000 down payment and start with a 25% instant equity position plus positive cash flow.

This turnkey real estate investment caters to investors who want to own but do not have the time, the resources, or the experience to get it done.  This tremendously reduces your risks and saves you money throughout the process.

INVESTMENT HIGHLIGHTS:

  • Positive Cash Flow on Every Property: Get gross positive cash flow on every property without having to use an interest only loan or pay down large sums of cash. Invest in one of the few markets in the country where this is possible.
  • 25% Equity in Every Property: This instant equity strengthens your financial balance sheet from day one and allows for multiple exit strategies.
  • Easy, Permanent Financing with our Preferred Lender: Deal with a lender who understands our business and gives you the best rates and closing costs on the market for investment properties.
  • FREE Tenant Placement: The builder pays your 1st tenant placement fee, which is equal to one month's rent (approx. $1,000).
  • 90-Day Warranty on Repairs and Maintenance: The builder stands behind their rehabs. They will pay for all rehab-related repairs and maintenance including unforeseen plumbing and electrical issues for 90 days.
  • 1-Year Builder's Warranty:  Included with every purchase.
  • Property Management Included

Download the FREE Property Report here: Atlanta investment property.

2009 Recession Ends – The Road to Real Estate Recovery

by

All economists and our financial markets are betting on this quarter to produce positive GDP.  Positive GDP marks the ending of the recession. Unfortunately with low wages and high unemployment the consumer will feel less positive over the next year. Still we are marking an end to the worst recession since the Great Depression and everyone should be pleased with this.

Road to REAL ESTATE RECOVERY

Now let's talk about real estate and recovery; The regional markets that had received the highest historical appreciation rates during 2003 to 2006 also had some of the largest price adjustments over the past 36 months. States that had these incredible high real estate returns, like California and Florida, have also seen the highest incidents of foreclosures. Logic would dictate that these markets will bounce back the fastest, but unfortunately they too will recover slowly as will the rest of the nation. An economic recession takes time to unwind and buyer exuberance usually only occurs once the entire nation is certain that the real estate market can only have one trend, up.

The psychology of man dictates that a deep recession brings about caution for some time to come (probably a few years). The States that had some of the highest swings will once again have the highest appreciation. Still it is best not to hold your breath for this in areas like California and Florida until old wounds heal (likely a few more years). In the meantime, recovery is with us. Recovery means price declines stop and appreciation kicks in. We are already seeing this in the hardest hit areas with homes priced at or around mean home pricing.

The June 2009 numbers just came out for pending home sales. We had the FIFTH STRAIGHT MONTH of pending home sales increases (up 3.6% month to month) and over a 6% increase compared to June 2008. Real estate, like any form of investment, has cyclical patterns that are dependent upon supply and demand. Optimism will once again kick in and sellers, buyers, developers all become happy over time.

[Read more…]

Housing Numbers Err on the Bright Side

by

Is it time to buy a house or ?

It Depends…

If you need a place to live and want to own a house, why not? Prices in some areas are fairly reasonable. But if you're speculating, our guess is that you'll get a better deal if you wait.

Why?  House prices may be firming in some areas – that's what the Case-Shiller numbers seem to show. But nationwide, they are probably headed down for quite a while longer.

Here are four reasons why:

First, as you know, this is a depression. It will probably be long. And deep. You wouldn't know it from looking at the stock market or reading the news. The Dow went up another 114 points yesterday. Oil rose to $71. And the dollar – anticipating inflation – fell to $1.44 per euro.

But that's what bounces are supposed to look like. They look good enough so that people mistake them for the real thing… and get suckered into more losses.

This is a depression. Depressions drag down asset prices. Typically, prices become much more reasonable. And then they reach UNREASONABLE levels. House prices have become reasonable. Now they will become unreasonably cheap…

[Read more…]

HUD Properties, FHA & Title Seasoning for Real Estate Investors

by

With HUD properties, title seasoning, FHA loans, and short sales, have had some confusion regarding the rules.  This article will clarify all of these issues for you.

HUD is the United States Department of Housing and Urban Development, a government agency whose goal is to increase homeownership and support community development .  The Federal Housing Administration (FHA), which is part of HUD, provides mortgage insurance on loans made by FHA-approved lenders throughout the United States.

HUD and FHA come into play in three different scenarios in the investor/foreclosure arena.

HUD Foreclosed Properties

When a person gets an FHA loan, it is funded through a private lender and the loan is insured or backed by the Federal Housing Administration.  When the loan is in default, FHA pays out the lender and take an assignment of the loan.  When the property is foreclosed, it is owned by HUD.  HUD then offers these properties for sale to both owner-occupants and investors.  The properties are offered on the local MLS computer database, but you have to submit an offer through a HUD-approved real estate broker.  The offer is made under a bid process, under which the HUD will either accept or reject your offer depending on what other offers are submitted.  An investor can buy, hold, or flip these properties if their offer is accepted.

FHA Loans and Title Seasoning

[Read more…]

Blog Posts

Contact

Norada Real Estate Investments 30251 Golden Lantern, Suite E-261 Laguna Niguel, CA 92677

(949) 218-6668
(800) 611-3060
BBB