what happened to robert allen? i read his "nothing down" book in high school. bought some duplexes in a run down town for nothing down and lost my shirt..... i learned the hard way that nothing down means you pay on the back end, big time! did he go under? thanks! surfer PS http://www.hedgestreet.com/hedgelets/CapFloor/dashboard.html http://www.hedgestreet.com/hedgelets/YesNo/dashboard.html looks like i should hedge my exposure, now if hedgestreet just stays open...... LOL !
http://www.johntreed.com/bestseller.html Robert Allen.. $412,045.65 in IRS liens filed against him on 6/16/86, $76,000 warrant for delinquent tax liens filed by State of Utah in 1986, sued by fellow gurus who spoke at his conferences for $117,000 in compensation, declared Chapter 7 bankruptcy in May of 1996
Hydroblunt, That index is turning around. I don't think its reflected in some of the more current data, which still is somewhat stale by the time its published. I'm seeing rents rising at a brisk pace while selling has slumped a little. I'm trying to figure out how much prices will drop vs. rents going up. In my market, I am playing this market by buying stuff that will cash flow, or almost cash flow, and get a fixed note. I don't care if the price of the property drops a little bit, as long as the cash flow increases because I know the prices will come back. If people are more hesitant to buy, they are less hesitant to rent. This is especially true in an expanding economy. SM
Hydroblunt, of course it hasn't worked in years in NYC, California and other overbought markets. What will it take for some of your to realize that there is still some value in the market. I personally don't look at any single family properties above 200k. I don't need too in Jax, FL. I can get a 3 bedroom, 2 bath condo for $89,000. http://realtor.com/FindHome/HomeLis...62C949C8DB0C&snumxlid=1052071849&lnksrc=00002 http://realtor.com/FindHome/HomeLis...62C949C8DB0C&snumxlid=1055565119&lnksrc=00002 http://realtor.com/FindHome/HomeLis...62C949C8DB0C&snumxlid=1051886075&lnksrc=00002
On a humourous note - does "waterfront property" in Florida mean "be careful when you go into your backyard, gators may eat you"?
those places are little shitholes and you could not rent them out for more than $500/month (750 sqf) built in 1955? fuck man you are deranged to think you will make a lot of money with fixer uppers like that in FL.
It was just an example at showing the types of properties that still exist and how cheap they really are. You say that yet I'm the one with a positive cash-flow and you rent. I'll admit it's getting harder these days compared to a year or two ago to find great value, but it still exists. I could care less if it's a shithole. My number one concern is positive cashflow. The shitholes and houses priced below 120k can deliver positive cash flow. It's very rare to find anything above 200k which will be able to rent out for more than mortgage, insurance, and taxes. If I buy a shithole for 90k and its market value jumps up to 180k in a few years. Fuck it! Better to sell now than rely on a very uncertain future about appreciation. Since my models assume zero percent appreciation. I'm really not too concerned what prices do in the short-term. All I care about is the rental stream. If they do have some ridiculous appreciation, I sell.
The Kin, You bring up a good point. I have noticed that you can rent a high value house much cheaper than buying (comparing monthly payments). Yet, with the lower vlaue homes, the rents are much closer to the mortgage payment and may even have pos cash flow.