All Forum Posts by: Justin Cabral

Newbie that is looking to follow Grant Cardone's footsteps. He says to start buying where you know. In my case, I live in Miami which, even Grant Cardone himself has said is too expensive to buy now given all the new construction and foreign money investing in our local real estate (and Grant lives here). 

That being said, I would like to explore other parts of Florida that are within at least a 4-5 hr drive from Miami. Can you please share what you know about Florida 5+ apartement investments. I want to start contacting commercial real estate brokers to find me a deal but I would like to narrow down the areas first. 

Thanking everyone in advance for your input.

So I found an article that talks to the topic of my post. It shares some interesting statistical data that I think is relative to my concern. Remember that what flagged my attention and caused me to create the post was the fact that my property today is back to the same value that it was in mid 2006 when prices were at their peaks.

Here are some clips from the article that caught my eye...

"Thirty-three states are now at or within 10 percent of their price peaks, going back to January 1976, when CoreLogic began tracking. Ten states — Alaska, Colorado, Iowa, Nebraska, New York, North Carolina, Oklahoma, Tennessee, Texas and Vermont — reached new price peaks"

"Despite the growth, overall home prices still are 8.4 percent below their highest point, which was nine years ago, in April 2006."

"...In real estate, the key word is local. Although some cities’ markets are booming because of job growth and shortages of homes for sale, across the country, sales aren’t as hot. They’re not stagnant, but after home prices rose quickly in 2013 and 2014 they did not sustain the pace."

The 50 fastest-growing U.S. metros

Here is a look at yearly home-price growth in the 50 fastest-growing U.S. metro areas. The numbers are from the Federal Housing Finance Agency, which uses different data than Core Logic:

You can look at the article (pasted below) but bottom line 7 of the top 9 were all metro areas in the south half of the state of Florida.

Not sure exactly how I should digest this data so I would love to hear your opinions. As a new investor located in south florida that is looking to begin investing in RE, how do you think I should determine whether the better timing to invest in my local market is now or down the road given these price spikes???

Article link: http://www.moneytalksnews.com/are-headed-into-another-real-estate-bubble/

Originally posted by @Franklin Romine:

@Justin Cabral

The property you mentioned is your primary residence that has appreciated.  What are you seeing in the marketing place?  How many properties have you looked at..... 1? 10? 100? 

I'm getting the feeling your talking yourself out of investing prior to getting into investing. 

Frank

 I don't think I am talking myself out of investing. On the contrary. I am really excited about pursuing increased wealth through real estate investing however I want to make sure I understand what I am getting into first.

In the high stress, high turnover, cut throat medical sales career I have chosen to earn my living in so far, I sleep very well at night knowing that I have a good amount of liquid cash in the bank as backup. 

I want to increase my wealth by making that cash work for me thru real estate, however when I see RE market pricing at the same levels that they were when everyone and their mother was saying that "housing was becoming unaffordable and that there is no way that appreciation is going to continue going uplike it has been (hence the bubble is going to pop)" right before the RE market crashed, it does make me think twice and do my homework before making a move that is going to put me on anxiety meds if I make an impulsive play that puts me in a bad position.

Originally posted by @Gregory Emmer:

@Justin Cabral  Many varying opinions, but I agree that the ones which rely on metrics, as opposed to personal anecdotes and opinions, are probably the more reliable ones.  That being said, I'll offer my own opinion.  I have lived in Brickell for the past 4 years, and the amount of development going on is scary.  The theory is all the foreign money will flood the condo market and buy up everything with cash.  However, is there really enough demand for that?  Perhaps, there's a metric, an article that can distinguish between what is fact vs. fiction.  Also, what's going to happen to the value in a seemingly new building built in 2008 (one that I live in), when nearly 20 brand-new construction high rises open in the next three years.  I guess we'll find out...

Its funny that you bring up that theory. I live about a block away from all the new high end development going on in Doral and just recently was looking at the Lennar estates project. That is where I found out that pretty much all the townhomes in that project were sold and 90% of those sales were purchased by south americans with foreign money. Maybe the influx of cash purchases made in south florida with money that was not earned in our local economic market is causing a false inflation and overevaluation of properties. How else can a 2600 square foot  home on a 4000 sq ft lot  with basic interior finishing be going for almost 600k and pay 12k per year in taxes? The local job market doesn't support that cost of living IMO.

I see many posts on BP referring to the "how would you invest a million dollars" question. However I don't see any that speak to how investors would get to that one million dollar cash level starting with a smaller cash amount.

That being said, I would like to hear what others would do to get to a million dollars if they had 500k to begin with. I am assuming it would be a much different play based on your cash flow needs and buying power. 

Please include your age and how long you think t would take you to turn 500k into a million.

Eager to ready your replys.

Newbie question for those members that are well engrained into the RE investment space. I am looking to begin leveraging cash I have in REI to increase my wealth and create future financial independence.

The townhome I live (Doral, FL) in I purchased in 2011 when prices were very in favor of the buyer. I purchased for 217k. The previous owner purchased new for 338k in 2006 when values were really booming and the market was approaching a downturn.

Today the townhome is back to that 2006 valuation (worth about 340k) and that makes me a little nervous about beginning to invest in RE due to fear that we are heading for another crash. Is this a sign? 

Can you please share their thoughts and philosophies?

Hi guys, Looking for some direction... I am new to the forum and really excited about getting into the real estate investment space. At the same time I am upgrading from my current townhome to a larger single family as my primary residence. Should be putting an offer in any day now. I only know one direct lending officer. I do trust him and did the loan on my current townhouse as well as refinanced through him. What I don't know is if I am missing out on a much better rate by not shopping around. He's quoted me a few weeks ago a 30yr fixed rate of 4.375% with my middle score being 689. Can you give me suggestions on how I should go about shopping around so I don't waste time spinning my wheels talking to people that will tell me anything I want to hear because they want to do the loan with them. I filled out one of those online forms at lendingtree.com and was bombarded with a million phone calls. I didn't talk to any of them because it was just too overwhelming and I felt like the hot lead that everyone was trying to get to first. Any input will be very helpful for me.

Hello everyone...I am a 34 year old medical device sales representative (working for "the man") in the South Florida market looking to passively invest in real estate instead of staring at my hard earned savings earning less than 1% annually in the bank. My financial advisor (who is also an alumni friend of mine) is not a big fan of real estate so I am looking forward to educating myself and getting some direction from all the experienced bright minds on this forum and through networking.

I have begun to listen to the BP podcast episodes that seem most relevant to me right now and will continue to listen to all of them, however I would really like to begin connecting with successful experienced investors in Florida that can be possible partners on investment opportunities. 

Any input what so ever about how I can get the ball rolling would be very helpful.

Thanking you in advance,

JC