STEPPING UP TO DOWN MARKETS! 

 

 Remember the ancient curse, "May you live in interesting times"?  While many are indeed cursing the current real estate climate, others see opportunities.  In a "soft" market, the short-term options dwindle, but seasoned investors in for the long haul are positioned to take advantage.

In the words of billionaire J. Paul Getty, "Buy when everyone else is selling and hold until everyone else is buying."  Just like the stock market, more money is often made in a down cycle than in an up market.

Slower times encourage sellers to be more open to negotiation.  Combine acceptance of lower prices with currently low interest rates, and you've got the perfect recipe for bargains.  Real estate is continually cycling, and it's guaranteed that prices will rise again.  The time to get in is now, before that begins to happen.

A "buy and hold" strategy works in this market, while your property appreciates.  While you wait, consider leasing it.  The property can pay for itself with rent collected, and an investor that can pay off a small mortgage is in an excellent position indeed.

Learn from your real estate agent and tax advisor how a "1031 Exchange" can greatly reduce your tax liability when it does come time to sell your investment.  Now is the time to get in, but be sure to know how you'll get out, too!

Larry Weichman, Broker TeamWeichman.com 714-241-4532, larry@teamweichman.com

 
This post has been included in California Real Estate News Orange County, CA Real Estate News Costa Mesa, CA Real Estate News
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2 Comments on STEPPING UP TO DOWN MARKETS!

AUG
08
2008

Great advice. 1031 exchanges are a viable option. Thanks
11:07am • #1
AUG
17
2008
162,200 Points Outside Blog

Thank you for your comment.  This is a great market to purchase more homes and units. We still have about 6 -12 more months of this window market.
1:32pm • #2


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Larry Weichman

Costa Mesa, CA

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Weichman Realtors, A Trusted Name In Costa Mesa Real Estate

Address: 1503 South Coast Drive, Suite 130, Costa Mesa, CA, 92626

Office Phone: (714) 241-4532

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