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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: Skeeter Bug who wrote (104659)8/25/2009 4:04:06 AM
From: Elroy Jetson  Read Replies (1) | Respond to of 110194
 
If and when we do have inflation again, rising interest rates to match the inflation are going to do a quite number on real estate valuations.

If real estate value are declining on ultra-low mortgage rates, higher rates can spell a boom.
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To: Skeeter Bug who wrote (104659)8/25/2009 12:46:41 PM
From: John Vosilla  Respond to of 110194
 
'..one caveat is that it all depends on where one is investing. location is everything right now.'

For me it is tons of equity going into the deal, cash flow and buy well below replacement cost. I can cherry pick overpriced areas even down here in so called great locations that it makes no sense to invest in. Realize the true pro doing distressed deals looks for motivated sellers not specific properties. My net covers 25 counties looking for specific deals. I really could care less what someone on Palm Beach or Malibu is asking for their Taj Mahal<g> It is a business not passive investing..My only exposure would be getting out of deals too quickly and watching hyperinflation suddenly change the game dramatically like what happened in the credit bubble starting mid 2003.