Thread: Investing in real estate

I have a feeling this will be a major category

Mike I agree... do we have any investor questions out there?

Hello everyone!

Let me introduce myself. It's "PRANT" Real Estate Agency, Laureate of the International Award "Actualidad 21st CENTURY: Gold Star for Quality", the leader of the growing real estate market of Azerbaijan. We offer our services, to private clients which want to buy properties on CAspian Seashore, in the South Caucasus, Baku and other parts of Azerbaijan, individual and instituinal investors, which also want to use the real estate investment opportunities of Azerbaijan.
Thanks very much for your attention.
With sincere respect,
"PRANT" Real Estate Agency.

It's me again, "PRANT" Real Estate Agency.
Please, contact me, if you are interested:
manager@prant.net

Hi

Here's some rules for investing

• Know the area you will be investing in
• Be within driving distance or have a property manager you'd trust with your life
• Don't buy properties which will be let to people you don't feel safe dealing with - even if you use a manager you will need to go face to face from time to time

Now, people have been encouraging overseas investment for years - citing the tax breaks when you take a holiday to do a property inspection. I'm not so sure - especially when there are language and cultural differences.

Not wanting to take the wind out of Prant's sails, but I'd stick close to home when investing.

Sarah

Does anyone have any experience investing in foreclosed properties? I am totally confused about HUD's rules. It looks like we need a special license to deal with HUD properties. Their site says that HUD pays 1% to the listing agent and up to 5% to selling agent. 1%? who's going to list that? Or did I understand it wrong? Anyway, if anyone knows anything about foreclosure, please help. THanks.

Max

Max, I am assuming from your post that you are looking to become a listing agent that reps HUD properties? I don't know your business, but I don't think you really want to be HUD's...well, you know what I mean don't you? Since HUD is a federal agency, you have to adhere to all kinds of silly rules. If you are looking to invest in HUD homes and your market (I don't see Lake Oswego being a hotbed for HUD foreclosure activity) is one where there is a nice spread between what you can pick up homes for + rehab + carrying costs and market prices, then they can be very lucrative. I have a childhood friend who was doing over 150 homes a year in LA (yes, he is big time with 5 crews), but when everyone and their mother wanted to become a real estate investor in California a couple of years ago, the HUD foreclosure/investor market dried up as properties began to be bid up too high to make any money. Home buyers began entering the market and an investor cannot compete with what a homebuyer is willing to pay for a property.

Hey Jason,

No, I don't want to be a HUD listing agent. I went to talk to them at their office and apparently even as a buyer rep, you need to register with them and follow their rules. That sucks!

You're right, Lake Oswego is no foreclosure territory, but inner city Portland used to be. I've been trying to get properties before foreclosure. But competition is stiff.

I'm receiving a lot of investors from CA. Are you seeing any activities from your clients wanting to invest in Oregon?

Max

Max, I don't really broker stuff any more. But, I do remember the last time every one headed north. HUD has a ton of rules and if you do enough volume, you can expect to get some discounts ( I know my buddy used to get 15% off when purchasing 5 or more properties at a time) when buying in bulk. But, things have changed since the market exploded. But, I believe you are doing the right thing by getting involved with them now and learning their methods as I think in the not so distant future we will be seeing a rise in foreclosures.

I just looked at a NNN leased deal here in CA for $750 sq. ft....I am sure that is why you are seeing a lot more investors from CA looking elsewhere. Crazy.

Jason, I know how crazy things are in CA. And you're right, we're likely to see more foreclosures in the near future. I personally have clients bought homes that they couldn't really afford.

Max