Hey, gang, this is Mike with My Real Estate DOJO and something I want to tell you about is the herd effect. Now, everybody knows the market is hot, everybody is buying real estate.
Retail people are buying real estate like crazy, cause everybody is giving loans. Rookie investors are able to go do wholesale deals, to do fix and flips, so everybody is getting into real estate. Guess what I am doing, I am not buying any property.
What I am doing is selling my property. While everybody in retail and real estate investors are getting into the business, because it is so easy to find deals, to find a property, rehab it and quickly sell it and make a little profit.
The market has really changed. The time to get property was in the crash, 2007 or first quarter 2008-2009. That’s when everybody was selling their property. All the retail sellers were selling, because the media, the news, wherever you look were saying real estate is bad.
All the investors lost their money, because they were doing fix and flips and the top peak of the market. 2007, 08 and 09 was the time to buy real estate. In 2016 it’s still okay, but it’s not the best time. For myself, I am not buying fucking real estate right now.
What I am doing is working on my business, on increasing cash flow. When the market crashes again, I will have a lot of money to buy more real estate at a deep discount. When everybody is dumping- that’s when I am going to be buying. Sure, you can get a lot of deals right now and a lot of newbies are getting into the business.
This is the reason why I am not doing deals. Why? Because I am not a wholesaler, I am not a fix and flipper, I am a buy and hold guy.
I really want to buy deep discounted properties, turn around, rent them out, get cash flow from them, wait 7, 10, 15, 20 years and the sell it or just hold on to them forever and just pass it to the next generation of my family.
Gang, this is Mike with My Real Estate DOJO, don’t take no for an answer, go hustle and bustle and make 2016 your best year.