Prescott Real Estate- You make money when you buy, not when you sell.
March 28th, 2009 categories: Home Buyers, Prescott Real Estate Trends
I’ve heard “you make money when you buy, not sell” many times over the years, and it never made as much sense as it does right now.
One of Warren Buffett’s most famous quotes, which is very relevant to today’s times is “To be cautious when others are greedy, and greedy when others are cautious”.
Many people are cautious right now even with prices having dropped anywhere from 30% to 50%. Bank owned properties currently account for 50% of closings in Prescott as of the end of February. Bottom line is, these are the market conditions in which many people have made fortunes. I’m not saying that waiting and watching is a bad thing, but like the boom, this bottom isn’t going to last forever either.
When you look at some of the most successful real estate investors, the decisions they make in the down times, not up times, are what set them apart from the crowd.
“Most of the biggest real estate fortunes were not made in good times, but in bad times like this” Barbara Corcoran reminds us in this talk with NBC.
In the 4-minute interview, Corcoran touches on the basics and the essentials of foreclosure investing,
- “Everyone who loses their shirt loses it somewhere else.”
- “Every big shark started small.”
- “The house on the corner sets the tone for the block.”
She also lends some personal perspective to rent rolls, the cost of losing a tenant, and finding a good business partner.
Banks are anxious to sell their foreclosed homes and that makes this an ideal time for savvy real estate investors.
When it comes down to it, those who buy & invest in Prescott Real Estate over the next few years will be looking pretty smart in 5-10 years.
If you have any questions about investing in today’s Real Estate market, call us at 928.778.4492 or e-mail at info@thehuffmangroup.com
Heya,
great stuff. Yeah, things are like that but it’s great to know people still write good none BS posts like this. Helps me get through the day
Thanks for it!
Hello Charlesetta,
Thanks for reading my posts. I try to keep the “BS” to a minimum! These days, that can be tough.
Have a great day.
Sue Brown
The Prescott Real Estate Round Up