In this episode of The Clarified Realty Podcast, Tom is taking a deep look into the sparse inventory out in the real estate market right now and how buyers need to embrace the "Hunter Mentality" for finding a home. When fewer and fewer homes and condos are for sale in your price point an entirely different strategy is needed. Right now is an optimal time to purchase a home; prices are still rising and interest rates are going to rise soon, too. That means that waiting on the sidelines will only make buying a house more expensive the longer you wait.
Tom starts off by discussing how the market got this way in the first place and what it would take to get more supply to open up and provide more opportunities for those who want to enter the market. In all likelihood, the market will remain in this condition for some time, so there are some key things that buyers can do to make things a bit easier on themselves. They are:
- Actually go and see as many places as you can in-person.
- Make sure to pick an agent that is ok with seeing more places.
- Be ok with only putting down 3%.
- Don't fall in love with a house until it closes.
- Don't get tricky with your offers.
- Have the right strategy for bidding wars.
- Lowered expectations are a bonus.
- No whiners.
All of these strategies will help someone not only survive a tough real estate market -- but maybe even enjoy it, as well! If you're thinking that you are in the going to be buying in the next 6 to 12 months, you definitely need to give this episode a listen. We hope you enjoy it! Please leave us a comment and let us know how you liked it!
On this week's Clarified Realty Podcast, we're taking a trip into territory that's a little less traveled -- Vacant Land. When people talk about real estate, they're usually thinking mostly about purchasing or selling a pre-existing, pre-owned, pre-built single-family residence or condo. But, it doesn't have to be that way. There's another option -- buying land and building your own. But as our guest for this week, Zack King, will tell you, it's definitely not always that easy. Zack is a rock star when it comes to representing buyers or sellers of vacant land and he is an expert of determining whether or not building your "dream home" from scratch is really a viable option in the first place. We start off by discussing an interesting fact -- that only 30 years ago, 1 in 3 houses were owner built. We talk about what type of atmosphere could have possibly led to such a change in attitudes in the market since then and how realistic it is for someone to build their own house on land that they purchase. We talk about challenges that need to be overcome, like zoning, easements, and getting utilities to the property (spoiler: there's only one utility that is the most difficult, but, unfortunately, that's the one you most need to live). We also go over the types of inspections that a potential buyer should need to have done (soil, perc, etc.) and how they impact whether or not the land is buildable in the first place. We then talk about how developers are primarily the main purchasers of vacant land and what they seem to be building these days. We then wrap up with a conversation with both Ron and Zack about how lenders deal differently with vacant land compared to homes. It's a really fascinating episode and definitely off the beaten track! I really hope you'll give it a listen and tell us what you think in the comments!
So you say you really want to buy a foreclosure -- or a short sale -- but do you really know that that means? In this episode, we take the topic of buying distressed properties head-on and reveal the reality (and oftentimes... futility) of making one of these transactions. Our guest today is Eric Petz, a long-time, incredibly successful short sale negotiator. He takes us step-by-step through the terminology of distressed properties (Notice of Defaults, Trustee Sales) and tells us how each of these apply to the foreclosure process.
We then take a short side-trip to the courthouse steps where he let's us know how developers and investors make sure you never come back to future auctions by, believe it or not, helping you win your bid -- but making sure you lose a whole lot more. They want to make sure you not only lose your appetite for foreclosures, but that you never, ever want to pull your chair up to the table for a meal again.
The topic then turns to the multitude of people that approach Eric and Tom about "buying a foreclosure" without ever considering how that's a next-to-impossible thing to do. Just because someone has missed a few payments and the home has received a Notice Of Default, they almost never have any desire to sell -- and that's what you really need to get the home in the end.
We then talk with Eric about the best strategy for buying a short-sale. Eric let's us know that there are two things that his all balances on -- close ability of the buyer and how much the listing agent is going to make from the deal. He discusses a couple of strategies for maximizing these priorities and potentially getting the job done.
We then close up with a conversation about how to figure out purchase price for the short sale -- here's a hint, it ain't full price..
Eric has so much experience and success in this field that every bit of advice is like a masterclass in how to buy a short sale. For anyone who has ever thought about investing in real estate — or just about how to purchase a short sale, this episode is a definite must listen! Please let us know what you think of it in the comments!
If you’d like to talk to Eric, drop us a line on our Contact Page and we’ll get him in touch with you.
Instead of our usual episode this week, we're telling you a little bit about something else special we're doing -- The Clarified Realty Podcast Happy Hour! That's right, tomorrow, April 6th, we're taking our show on the road and we're going to be on Facebook Live! This month, it will be two of our previous guests -- Tim Denton and Zack Schneiderman. We're also being joined by the hysterical comedian, Daniel Weingarten, who is going to give the millennial POV on home ownership. It's going to be an amazing time and we hope you join us either on Facebook or -- in person! That's right you can be there and watch it all go down in person! If you're interested, just leave a comment below and we'll in touch with the details. Have a beer, have some laughs and get your weekend started with us! You know, as they always say, Thursday is the new Friday!