Sometimes, when things are just too confusing, you need to just remember a few simple thoughts. Here are some quotes, ideas and axioms that you will need to remember to get you through these economic times safely and profitably.
$19 trillion--The value of our country's real estate in 2008. In 1999, the value was $10 trillion, increasing to a whopping $22 trillion in 2006. The total amount of real estate doubled in seven years! It would seem that we really shouldn't complain.
Warren Buffett is the world's richest man---and the most successful investor in history. Here's Buffett's advice: Realize that markets always come back---they did after the Bear market in 1974, after the stock market crash of 1987, after the dot.com bust in 1990, and he bought in the 'down markets' everytime. Bad news is an investor's best friend. He is buying now!
"Where there is change, there is opportunity".
"Real Sellers....attract Real Buyers". Sell ahead of the market, don't follow it all the way down.
You make money on the buy, not the sell. If you're a seller, get what you can for your property now and buy the 'best buys' to make your profit.
A recession is a terrible thing to waste.
Focus on the above Axioms and adjust your sail in the middle of a storm. This is when fortunes are made.
Sunday, June 7, 2009
Saturday, May 9, 2009
First Quarter 2009 Market update
For the first three months of 2009, the average inventory per day of listed properties in the Telluride Multiple Listing service has been about 1585 properties. The number of sales per month has been 15 to 30 properties. That means about 98% of the properties listed are not selling each month. We are predicting that the summer sales will pick up a little as more sellers price their properties to the current market and have a real desire to actually sell, rather than just 'be for sale'.
We are also predicting that 2009 will be a slow recovering market with 80% of the currently listed properties still on the market at the end of the year. Most sellers are in denial that their properties have lost 20% to 40% of their value. Many don't have to sell and will continue to leave their properties price at 'pre-recession' prices.
We are also predicting that 2009 will be a slow recovering market with 80% of the currently listed properties still on the market at the end of the year. Most sellers are in denial that their properties have lost 20% to 40% of their value. Many don't have to sell and will continue to leave their properties price at 'pre-recession' prices.
Tuesday, April 14, 2009
Dr. Lawrence Yun---NAR chief economist
I recently attended a seminar in Denver at which the chief economist for the National Association of Realtors conducted a power point presentation on the national real estate economy and somewhat on the Colorado economy. Here it is and I hope you enjoy it.
http://www.summitassociationofrealtors.com/uploads/colorado_(april_2009)lyonreport.pdf
http://www.summitassociationofrealtors.com/uploads/colorado_(april_2009)lyonreport.pdf
Wealthy Chinese Investors
Thought you might like to see this article about Wealthy Chinese Investors that are purchasing property in the U.S.
US property dealers eye wealthy Chinese
Around 20 US real estate brokerage companies and investment firms made their debut in Beijing on Friday, showcasing their property projects to China's wealthy citizens.
This is the first US property selling delegation to China, following a Chinese buying delegation's trip to the US in March.
"China, which has a fast growing economy and an emerging group of rich people, is now a market we cannot afford to miss," said Rob Emerick, head of the US delegation.
According to the Boston Consulting Group's report, China had the world's fifth-largest population of millionaires in 2008, at 391,000, up 20 percent from the previous year.
Forty-something Lin, from Tianjin, is one of the millionaires looking for buying opportunities. "My primary choice is an apartment or a penthouse in Los Angeles where I have a few friends," said Lin. Besides, "in such an economic downturn, you have to find a place for your money", said Lin, who runs a business in Shanxi province.
Thomas Cervone from the MOSAIC property firm, said: "We are very close to the bottom, and the weak dollar makes the Chinese customer's purchase easier."
The annual cash-on-cash return, said Cervone, is expected to reach 7.6 percent before tax, the appreciation being around 5 percent in three to five years.
Experts say there are no legal barriers for Chinese people to buy properties in the US, but prolonged stay there without a valid green card remains impossible.
"Even though you own an apartment in the US, you still need business or tourist visa for short-term stay and a green card for long-term stay," said Yin Guohua, a lawyer specialized in the property sector.
(Source: China Daily, 2009-04-11)
US property dealers eye wealthy Chinese
Around 20 US real estate brokerage companies and investment firms made their debut in Beijing on Friday, showcasing their property projects to China's wealthy citizens.
This is the first US property selling delegation to China, following a Chinese buying delegation's trip to the US in March.
"China, which has a fast growing economy and an emerging group of rich people, is now a market we cannot afford to miss," said Rob Emerick, head of the US delegation.
According to the Boston Consulting Group's report, China had the world's fifth-largest population of millionaires in 2008, at 391,000, up 20 percent from the previous year.
Forty-something Lin, from Tianjin, is one of the millionaires looking for buying opportunities. "My primary choice is an apartment or a penthouse in Los Angeles where I have a few friends," said Lin. Besides, "in such an economic downturn, you have to find a place for your money", said Lin, who runs a business in Shanxi province.
Thomas Cervone from the MOSAIC property firm, said: "We are very close to the bottom, and the weak dollar makes the Chinese customer's purchase easier."
The annual cash-on-cash return, said Cervone, is expected to reach 7.6 percent before tax, the appreciation being around 5 percent in three to five years.
Experts say there are no legal barriers for Chinese people to buy properties in the US, but prolonged stay there without a valid green card remains impossible.
"Even though you own an apartment in the US, you still need business or tourist visa for short-term stay and a green card for long-term stay," said Yin Guohua, a lawyer specialized in the property sector.
(Source: China Daily, 2009-04-11)
Monday, April 13, 2009
Current Recession
Dr. Lawrence Yun, chief economist for the National Association of Realtors, spoke in Denver last Thursday. Of note, was his comment that this recession is the first in decades that real estate prices and interest rates are both low at the same time. Property affordability has never been better. Foreclosure sales in California have doubled in number of sales over last year at this same time. This is at least a sign that the economy might be on the mend.
Tuesday, April 7, 2009
The year of opportunity---2009
"The way to make money is to buy when the blood is running in the streets", John D. Rockefeller. This will be the last time in most of our life times to see these kind of real estate opportunities. The buyers who can see the silver lining now, will be hugely rewarded.
Saturday, April 4, 2009
Global Connections
We have over 20,000 real estate brokers in our networks, of which about 3000 are outside of the U.S. Wherever you might be interested in listing or buying a property, we can connect you with a quality real estate broker.
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