Monday, August 24, 2009

NOD's in the houseing market

Found an interesting post or two about Santa Monica at

He has a fun style. Interesting. Still is an alarmist but he does have a few good points. Many agents have taken listings at unjustifiable prices and have to chase the market downward. He used this to parley it into a article about higher end areas like Santa Monica finally getting hit by the housing bubble. Maybe so to some degree.

I have some friends and associates that are going out to the hard hit areas far afield to pick up the cheap stuff like houses in Los Vegas and in Florida. Writing a check for the full purchase price.

One item is that the Single Family Home market is flooded and getting a few more in the pipeline from NOD's (bank notice of defaults that soon will be foreclosed upon).

Santa Monica will not be that cheap where $50 to $80 thousand will buy you a house but it will be a bit dicey on the Westside when all the pent up NOD volume comes to the foreground. Keep your ears posted for some great deals.

The bigger question is how is this going to affect Residential income properties? Maybe the loss of investors for Multi Family Properties is due to the limited capital of those potential buyers going out to suck up the bottom from other far ranging markets.

Buy Low and Sell High. I prefer that strong monthly Income myself.

Let me know what you prefer to buy at this time.

Keith L.