Another economic crisis around the corner, it is spreading like a forest fire, wait until March next year
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Housing would tank hard if economy is bad or current income level cant support the housing prices
I had an agent that kept feeding me short sales after short sales. Because by the time the house already hits the MLS it's only there to go through with the formality. The buyer has already been picked, and the only reason why it appears on the MLS for 1 day is so it makes it look like the transaction was an arm's length transaction away. But you as a real buyer really didn't have a shot at them...
Before you talk about how discounted shortsales/REOs really works, you should learn how the game works.. Otherwise you aren't really ready to buy...if ever... You definitely aren't capable of buying an REO. You would get eaten alive by some of the sharks that's been doing this for 20+years. And you really need to understand who you know in order to get the short sales. Because you as an individual normally won't have access to them with having a relationship with an agent that has access to them.
Actually we were predicting home prices would tank once subprime borrowers had their arm loans reset. And it did...and we bought. With cash. There wasn't a 40% correction in tier 1 locations. It was more like 20%(25% for short sales if you had access to them which most of you didn't).
40-50% off was in tier 2or3 and again they were short sales or reos, which you could only get if you had access to the agents dealing with them. A lot of the short sales were simply sold to the agents best cloents. Or friends. Regular retail didn't have access to most of them. They ended up buying from us after we turned then around and sold them for a big profit. Before you talk about how discounted re really works. Otherwise you aren't really ready to buy...if ever