Definitely that's why it's all about timing and being able to run the proper numbers. I purchased my first home near Sacramento in 2006 which I thought was a good deal so I did pull the trigger. It was listed for $637,000 and I was able to get it for $501,000..,,,what a deal!!!! Ya right....little did I know I was close to the peak and the market came crumbling down. I ended up Short Saling the property for $237,000..,..ouch but lesson learned. My wife and I relocated down to SoCal and just saved for a few years. I decided to learn about the timing of markets and to better read them but more importantly was trying to find a good deal. I got into real estate as a Realtor on the side as I'm a full time Firefighter and ended up finding a pocket listing in my office. The agent told me the house needed work and the seller was just looking for the right buyer. We went and looked at it and instantly fell in love. Built in 1926 and needed work but had great potential. my wife wrote the seller a letter explaining who we were and that we loved the house and could see ourselves raising our family there. He responding back immediately and said we were who he's been waiting fire. We paid $590,000 which was a steal for the neighborhood and now we sitting on over $300,000 of equity in 2 years. Again all about timing. We have started to build our portfolio with passive income properties where the numbers make sense using the equity as leverage and make that money work for us. Just my story!!
