Oklahoma may have "noodling" and "tornados" for bragging rights, but we also have some financial bragging rights. You should be aware that OKC is considered one of the most affordable housing markets in the US. Forbes ranks OKC in the top 10 of the most affordable home markets. Good news? New news to you? Hang on!
Now, the question on every inquiring real estate mind: "Is property flipping (around these parts) still found and still financially feasible?" That is the question, I am asked in some form or fashion several times a week.
The answer is ------well, "complicated", as they say.
First of all, for it to be be feasible financially, several stars need to line up. The first being the price and the second being the condition. Lastly, ownership can come into play. No one really wants to give away a house in good repair with a lot of equity. Occasionally, one finds someone who would rather sell than hold for a higher price; but unfortunately, we Realtors, do not have a way to search for such! Our biggest clue, as Realtors, is how properties are priced and how fast the list price is coming down.
The second clue may be the owner. Often foreclosed properties are priced at market value. You must remember that the asset manager is tied to an appraised value, be that a good or bad appraisal. I think my personal home was a good deal because it was an "old" or "aged" listing. It had been on the market way longer than it should have been because the Realtor placed it in the geographic wrong area, by mistake. Realtors searching my area were not turning it up because of this mistake. This critical mistake was unknown to the listing agent and the owner/reo company--so I got the "deal" because of the time on market. Some, not all the time foreclosures are a deal! Don't count on it though because we only have a few in our market and they seem to go fast.
The second seller possibly in a hurry to sell is the estate. Often many people are due the proceeds from a sell. If everyone gives up a little bit, no one get hurt badly and the property sells quickly, with everyone getting their money--FAST! Often the executor/trustee is ready to be finished. This is where I have found my best deals.
Lastly, are the short sales--YIKES! Most of these are headed to foreclosure with an unpredictable end! See yesterday's blog, but do remember, these are not generally houses that make good homes because the time frame is very unpredictable. For pure investment purposes, if you have time (lots) and money, these could be the best "deal."
Ok, so you wanna be an investor, what is your first step? Call an expert. You don't do your own brain surgery, you call the doc. Don't do complicated financial deals without a REALTOR, well versed in the field of investment. Realtors, if you want to work with investors, educate yourself to the market and the types of financing available. There is so much more to finding the right property than just "buying a house." YIKES! Get some "ed-u-ma-cation" otherwise, you might just get "experience."
Flipping--yes, it is still an Okie pastime, but make sure you do it right and with the right Realtor!
Now, the question on every inquiring real estate mind: "Is property flipping (around these parts) still found and still financially feasible?" That is the question, I am asked in some form or fashion several times a week.
The answer is ------well, "complicated", as they say.
First of all, for it to be be feasible financially, several stars need to line up. The first being the price and the second being the condition. Lastly, ownership can come into play. No one really wants to give away a house in good repair with a lot of equity. Occasionally, one finds someone who would rather sell than hold for a higher price; but unfortunately, we Realtors, do not have a way to search for such! Our biggest clue, as Realtors, is how properties are priced and how fast the list price is coming down.The second clue may be the owner. Often foreclosed properties are priced at market value. You must remember that the asset manager is tied to an appraised value, be that a good or bad appraisal. I think my personal home was a good deal because it was an "old" or "aged" listing. It had been on the market way longer than it should have been because the Realtor placed it in the geographic wrong area, by mistake. Realtors searching my area were not turning it up because of this mistake. This critical mistake was unknown to the listing agent and the owner/reo company--so I got the "deal" because of the time on market. Some, not all the time foreclosures are a deal! Don't count on it though because we only have a few in our market and they seem to go fast.
The second seller possibly in a hurry to sell is the estate. Often many people are due the proceeds from a sell. If everyone gives up a little bit, no one get hurt badly and the property sells quickly, with everyone getting their money--FAST! Often the executor/trustee is ready to be finished. This is where I have found my best deals.
Lastly, are the short sales--YIKES! Most of these are headed to foreclosure with an unpredictable end! See yesterday's blog, but do remember, these are not generally houses that make good homes because the time frame is very unpredictable. For pure investment purposes, if you have time (lots) and money, these could be the best "deal."
Ok, so you wanna be an investor, what is your first step? Call an expert. You don't do your own brain surgery, you call the doc. Don't do complicated financial deals without a REALTOR, well versed in the field of investment. Realtors, if you want to work with investors, educate yourself to the market and the types of financing available. There is so much more to finding the right property than just "buying a house." YIKES! Get some "ed-u-ma-cation" otherwise, you might just get "experience."
Flipping--yes, it is still an Okie pastime, but make sure you do it right and with the right Realtor!
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