Remember the basic fundamental rule that we all learned about investing? Buy low, sell high. Was the rule, "buy at the lowest point, and sell at the highest"? No. Why not, because market timing is pretty darn near impossible. The only was people time the market right is via luck, a crystal ball, or lots of praying. Anyone can time it right once in a while. (Like the saying that even a broken clock is right twice a day). If you get caught up in always trying to time things perfectly, you will never reach your potential because you will be out more often than in.

All that said, everything I am seeing these days tells me now is the time to buy real estate as an investment. I have owned investment real estate since 2001. Not since 2001 have I seen such alignment between rents and prices. with the recent drops in interest rates, all of those infomercials are starting to sound good (where did they all go, anyways?)

Evaluating real estate investments is not for everyone. Sure, you can read a book and learn the fundamentals. It takes experience and expertise to know what you are looking for. My recommendation is to use a professional. Do not try this at home, kids. Seek advice. If you do not have a rich dad to coach you, a REALTOR is a good place to start!

Over the 5 years from 2001 - 2006, did you ask yourself, "if only I bought this properties back then... they were so cheap!" I do not know if any of us has a crystal ball anymore, but I believe we are nearing a bottom. The amount of land we has is constant and more people are moving into the US than leaving it. The supply-demand principal states that if there is a limited supply with an increasing demand, the value of the asset tends to rise. In 2020, you will be hearing people same, "I should have bought this properties when..." It's time to get off the fence and buy. Be a bottom feeder and grab the low hanging fruit. The only real estate I have owned in the last 2 years is my primary residence. That was until this week. I'm back in the game, baby! There are great opportunities waiting for people with some wherewithal to come along and start shaking up the system.

Buy foreclosures. Bring your firneds to the table. Has anyone looked at the numbers on multi families lately? They are starting to work again. Let's get back in the game!

I'm not sure who's seen it, but there is a good report out there from Remodeling Magazine which shows the 2007 average ROI on projects. I'm curious, with all of the changes in the market and home prices this year, how is anyone going to calculate something like this?

Nationwide, a wood deck offered the best ROI in 2007, while a home office remodel was deamed the lowest. For 2007, none of the projects they listed had an ROI over 100%. That coincides with the concept that a home is not an investment - it's a place to live. Investment real estate is a whole different game.

People do not build a deck for a return on investment, but many sure do factor the return into the equation. If I spent $10,000 building a deck which offers an 85% ROI, it really only cost me $1,500. When I look at it that way, it sure is worth it to put the deck on the house!

I have a summary of the 2007 survey available on my website, as well as a link to further information.

http://www.ilmct.com/home-improvement-roi.asp

The foreclosure situation continues to loom. RealtyTrac has published its latest numbers, adding to the doom and gloom which is hanging over the real estate industry. The media makes it hard to get us out of things. If we want to change things, we need to start thinking they are changing. That's hard to do when we are constantly being pumelled.

Here is some of what RealtyTrac said...

• 1 in 483 homes nationwide has receive a foreclosure notice in the month of May
• This is up 48% over May, 2007
• This is up 7% over April, 2008
• 74,000 properties where foreclosed on by lenders in May
• Another 58,000 received default notices

Of course, it's not RealtyTrac's fault that the number slook like this. These guys do a nice job of presenting the facts. I'm sure, at the same time, there is something positive to find in the data. It would be nice to hear about that, too. Thjere are markets where things are still groing. There are markets that are beating the national averages. Where is all of this positive stuff?

Here are a few things to be positive about

• Now is a good time to buy, deals are out there waiting to be made
• There are more choices now than anytime in the past several years
• Banks are still writing mortgages

So, if you are thinking about buying a home, now is a good time. You'll be there for the long-haul and there is much more upside ptential for real estate in the long run.

Cheers

Here are a few facts just published about housing in the greater Hartford, CT area. These facts have been published by GHAR (Greater Hartford Association of REALTORS)

• Year-over-year house inventory has gone up by 7%.
• Year-over-year housing prices dropped 3.53% from $255,000 to $246,000
• Year-over-year shows a drop in pending sales for the month of May while the averages days-on-market has gone from 63 to 67 (up 6%)

On the more positive side...

• May pending sales are up compared to April by 6%.
• Closed sales are up 17%
• With the inventory levels up and rates still low, it's still a great buying opportunity

In times like these, many people want to understand things like foreclosures and short sales. Here is some information to help people understand more about HUD homes

What is HUD?

HUD stands for Housing and Urban Development. The mission of HUD is to "promote adequate and affordable housing, economic opportunity, and a suitable living environment free from discrimination" (http://www.hud.gov/offices/adm/about/admguide/history.cfm)

What is a HUD home?

Basically, it is a home that is owned by HUD. The real question is, how does HUD end up owning a home? It all starts with FHA. Within HUD, you will find the FHA (Federal Housing Administration). The FHA insures loans. They provide a financial guarantee to a lender. If a lender needs to foreclose on a property, they have the option to deed the property over to HUD in exchange for a claim payment. This is how a property becomes owned by HUD.

How do I buy a HUD home?

You need to work with a HUD broker. You can see listings in local MLS databases and through a local HUD website. In the end, you need to work with a HUD broker to submit your bid.

I hope this is helpful.

Here's a quick reference guide for top 10 things you want to make sure your home inspector covers for you.

1. On/off switches for furnaces, air conditioners, etc.
2. Pilot light on hot waer heaters, overs, furnaces, etc.
3. Electric panel - Fuses or Circuit Breakers?
4. Main water shut-off controls
5. Foundation
6. Floors, walls and partitions
7. Roof
8. Windows & doors
9. Septic tanks, wells and/or sewer lines
10. Heatings ventilation and air conditioning systems

And as a special added bonus - if you are buying a condo, don't forget to take a peak at the common areas

I hope this is helpful to anyone with limited experience in buying a home.

Here's a few quick tips when deciding on evaluation criteria for your next home...

• How well are other homes in the area maintained?
• Look around the community - are there signs of others doing things that you like to do?
• Look for signs of children - whether you want them or not, it's good to see what's going on.
• Look at shopping, recreation and transportation. Are you able to easily access the things you want and need?
• Try to avoid falling in love with the first house - use it as a baseline. Always look at 3 of anything before making a decision.

Hope these tips can help. There's plenty of more where that came from!

The short answer is that it doesn't affect it too much. When looking for a mortgage or auto loan, credit score treats all inquiries made in any 14 day period as a single query.

Another point worth noting is that credit scores do not factor in inquiries for these types of loans if they have been made within 30 days of the credit score calculation. Therefore, if you find your mortgage or auto loan within 30 days, your credit scores which the lender uses to review your application will not be affected at all.

Hope this helps!

I have been talking to eveyone I know about why now is a great time to buy real estate. It's simple...

• There's a ton of options out there as inventories sit and wait to be sold
• Sellers are more flexible
• Interest rates on mortgages are still really low.
• Prices have softened. Are we at the bottom yet? Maybe. Maybe not. Either way, we're definitely not near the top. Buy low, sell high. That's what investors do, and so should you!

Now is an excellent opportunity to buy. If you felt like you missed out on something over the previous years, you did! Don't make the mistake and miss out again. Get in the water BEFORE the wave comes if you wanna good ride!