Trying to time the market? Want to buy at the bottom? End User or Investor?

Are you trying to time the market?

Do you think we are at or near the bottom?

Do you want to buy at the bottom?

Are you an end user? Or investor?

Investors:

In our local market here in Teton Valley Idaho (includes: Driggs, Victor Tetonia and Alta WY) I am seeing investors becoming more active. Why? It involves math, any time you can get a cash on cash R.O.I. of 10% or better in residential real estate it begins to attract the investors.

Add leverage into the mix and your cash on cash return becomes very good.

My thoughts:

• The best deals will be made before we hit the bottom.
• As every investor knows, do not be in a hurry to buy or sell.
• Be glad that every tom, dick and harry that read a "get rich in real estate" is not still trying to compete with the investors.
• Want to buy and then resell for a profit? Better have a plan B. What if the home does not sell?
• Some savvy real estate professionals know how to find investments that others do not. Find a RE agent that knows and understands RE investment.
• I have witnessed investors holding on to property in hopes that the market will recover and they will not have to sell at a loss. Do the math! Sell at a loss and reinvest in this market!

End Users:

People that can afford to buy have an opportunity to get a good deal. Interests rates are at an exceptional low. Home values are at an exceptional low.

I would like to make a suggestion. If you want and can afford a new to you home:

• Buy a home you like.
• Look for value in the cost to live in the home more than resale value.
• Make sure the home is the right size for you.
• Investigate the neighborhood.
• Look at all costs of home ownership. (Maintenance, repairs)
• Buy a home you can afford.
• Find a real estate agent that is sincerely interested in your best interest (not just wanting a sale).

I have lost millions in this down turn in the Real Estate Market. I am still smiling! This is the best lesson any investor could ever wish for. It has been said that we learn more from one mistake than from 10 successes. I am thankful for this lesson. You can't learn this stuff in school!

Buy what you can afford, spend time and money on the things that are important and live life in a way that allows you to sleep well.

Harley