|
Investment Properties-The Good, The Bad, and The UGLY! |
|
|
|
|
If you are thinking about investments, this may be the way to go. Michigan economy and the loss of jobs has caused an influx of foreclosed/investment properties which is a great opportunity for those with extra cash. (Does anyone have extra cash these days? My family certainly makes sure I don't!)
Here are the pros of the investment properties. Many people are making very good money. Potential investors are able to see the finished product and usually like doing the remodeling work. And of course they can see the profit potential and their net gain. If an investor can make $20K to $50K they have done really well for Michigan.
Does anyone ever watch "Flip this House" on tv? That show cracks me up. How do average people buy a $500,000.00, 1100 square foot ranch in California, and handle two mortgage payments at the same time? While some have made some great money, most of them underestimate the time to do the repairs, the amount of money needed for the repairs, and the amount of time to resell the home. I keep wondering when they are going to put an average Midwest home on that show. Of course, it wouldn't be as exciting to look at the profit margin as the ones in California.
|
|
Read more...
|
|
|
Grand Rapids, MI Marketplace 2007 Foreclosure Stats |
|
|
|
|
Market trends show that the West Michigan marketplace was very similar to the 2006 stats. However, last year did see a big increase in short sales and foreclosures in the marketplace. Here's the information and best guess estimates from our local MLS board (Grand Rapids Association of Realtors).
|
|
Read more...
|
|
|
I'm amazed at the deals going on in today's market! I have to tell you of a deal that I heard of this last year, that I will call the Deal of the Century.
Initially, I need to explain about the foreclosure process in Michigan for you to understand about this deal. Initially, a person gets a couple months behind on their mortgage. Usually
|
|
Read more...
|
|
|
Michigan Market... The Good and The Bad |
|
|
|
|
So here's the good news. In July, the sale of single family homes increased 8.6% over the same period last year according to the Grand Rapids Association of Realtors statistics (http://www.grar.com/). According to the National Association of Realtors, "a forward-looking indicator based on pending sales of existing homes suggests the market may stabilize in the months ahead." (GRAR bulletin) It truly is a great time to buy, especially if you are looking at a home purchase as an investment opportunity.
The Bad News...
The bad news is that Michigan in particular, has a lot of homes that are either going into foreclosure or are already there. Job losses, the economy, 2nd and 3rd mortgages, adjustable rate mortgages, have all contributed to the dilemma we face today in trying to sell the homes that will eventually sell at a loss. Personally, I think that it is sad to see all of these homes in the foreclosure process. Again, it's great for the buyers but buyers beware. There can be issues with these homes and let's hope and pray that you can avoid some of the pitfalls that these sellers are experiencing at this moment.
The Great News... Ways to Prevent Foreclosure
Recently, the Grand Rapids Association of Realtors put up a booklet that can be easily downloaded from their site at http://www.grar.com/ named, Learn How to Avoid Foreclosure and Keep Your Home. Here are some great points that I believe everyone should take notice of:
|
|
Read more...
|
|
|
RSS
