It’s Leap Day, 2008 and I am offically buying (and blogging) again. I pulled my head out of the sand this week while listening to the real estate guys radio show podcast on “it’s a buyers market”. While listening, I recalled a book i read over a year ago, “Timing the Real Estate Market” so I dusted it off and started reading. More on this book later..
Why is it time to buy? In my opinion, the DFW economy is strong. We have good job growth, postive population migration, influx of barnett shale money and a low cost of living. We may still have some bumps ahead but we’ll be impacted much less than other areas of the country.
Why now? Foreclosures are high, builders are in trouble, homeowners are looking to unload quickly so there are plenty of good deals. Mortgage rates are low for those with good credit and cash. Most importantly, rents are rising! Thousands of foreclosures every month are creating new renters. Plus, lenders tightening so buyers actually need to show they can make the payments before they get a mortgage – imagine that!
My goal is to purchase 3-5 single family homes at a 25%-30% discount, put 10%-20% down and rent them with at least $200/mo cashflow. I can sell when the market turns around in a few years or hold on for longer term cashflow. It’s not rocket science!
Stay Posted. I’ll be blogging my progress over the coming months.