Opportunity Knocks In Real Estate Market - Real EstateOpportunity Knocks In Real Estate Market┬á┬á by Bruce Swedal
in Real Estate ┬á┬á (submitted 2007-09-12)
Right now the Denver Real Estate market is offering up a bevy of investment opportunities for people willing to take advantage of the market.
There are a few conditions at play in the real estate market that are making it a ripe time to buy an investment property. Those conditions are listed briefly below
-The mortgage situation has caused many first time home buyers to be excluded from the market due to an inability to get financing.
-The sub prime adjustable rate mortgages issued over previous years and now adjusting are causing foreclosures to increase. The inability for home owners to get refinanced out of these mortgages because of the tightening of underwriting standards is also at play here.
-With substantially less buyers on the market and more foreclosure properties available, the supply and demand curve is hitting home sellers. Causing them to lower prices.
-With substantially less people able to obtain financing and purchase they still need to have a place to live. That means rentals. Over the past 9 months the rental market has seen a shift that is tightening the available rental units available.
To break it down it means it is an ideal time to purchase properties with the intention of renting them for a time frame of three to five years or longer if preferred.
During that time you can use the rental income to offset the mortgage payment while waiting for the market to rebound from the current low prices. When the market does rebound you should see substantial gains in equity from your property investments and at that time can consider putting the properties on the market and taking profits.
So what do you need to take advantage of this market? You need good credit and an ability to make the mortgage payment. Ideally you will have 20% to put towards the purchase price of the home. Most of all you need a desire to take advantage of this market and cash in. Other than the desire, most other obstacles can be overcome.
Lastly you need a quality Realtor that knows the market with a network that can make this happen for you. So don't be shy, give me a call or visit me online today.