just closed at 4.25%. Purchased at 1996 pricepoint. If you can buy, buy now. It wont get any better and if the interest rates drop to 2% (very doubtful) you can always refi.
Got present RE rented just by talking to our immediate neighbors and letting them know, we would offer to their friends first, so they could control who their new neighbor would be. Prospective tenants were told wed known all the neighbors for over 20 years and will remain in contact with them on a regular basis and the neighbors all knew each other. A relative is local phonenumber contact for propertymanager stuff like calling a plumber. A maildrop was set up with a local address to mail rent checks. If they didnt like the idea that wed be dropping by from time to time to visit our old neighbors, they were free to find somewhere else to rent. No need for them to know right now that were actually 300 miles away. If they last beyond the first six months, theyll find out soon enough and it wont matter cause theyll be keepers. Pre-existing households versus new households formed by marriage, divorce, moves into state, etc, is predicted by some to reach critical mass circa 2014/5 in Calif; then well see a sellers market return and we’ll look at listing it. Your state mileage may vary.
The seller of the ranch we bought, btw, just bought 40 acres in Missouri. Ya’ll better hurry afore Missouri is sold out ! :)
The Second Foreclosure Tsunami Is Coming, And Is About To Kill Any Hopes Of A “Housing Bottom”
Here’s the simply math: there will be no housing bottom until the 9 million excess homes clear. Period. Until then it is a buyer’s market, even if said buyer is unable to obtain bank financing, as ultimately it will be the seller who is forced to monetize (or vacate if underwater) their home in a world of ever diminishing cashflows. The fear of the supply onslaught will only make the dumpage that much faster.
Courtesy of RealtyTrac we know how many homes were foreclosed upon in the period until November 2010, when robosigning became a prevalent, if short-lived issue, or roughly 330,000 a month. In the aftermath, this average has dropped to 227,000 a month: a roughly 100,000 difference in less foreclosures each month! Which means that in the deferred amount of foreclosures, over and above the already endogenous deterioration in home prices and declining household income, means that there is at least 1.6 million in homes that are just waiting for a green light to be foreclosed upon.