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Strategies & Market Trends : SiliconInvestor All Stars Forum -- Ignore unavailable to you. Want to Upgrade?

To: Dave54 who wrote (963)	7/10/2007 1:20:11 PM
From: John Vosilla	Read Replies (1) \| Respond to of 1718

'As this real estate crash gets to peak is when to pounce, in the mean time due your DD on the areas and keep a watchful eye for sale signs and the eventual empty houses.' Well in SW Florida home prices are down 40%+, there is a two year supply and a ton of vacant new homes as far as the eye can see. The REO's are now mounting 1.5 years into the downturn.. The numbers for buying some as rentals still don't come close to working at today's retail prices with GRM's still at 15 and very high RE taxes and insurance.. In a nutshell an example is a 1400 sf almost new home that sold for $275k at the peak, was worth $110k four years ago and is now worth perhaps $150k and rents for only $900/month and taxes/insurance of $550/month. I'm sure it will be much worse when all is said and done than even the oil patch crash you lived through in the 80's.. What were the gross rent multiples at your market bottom? Welcome. Enjoyed your post