All Forum Posts by: Ahmed Alswaiti

 This is 100% true. Especially now after the Fed lowered the interest rate. This is first time in over four years. 

Happy investing everyone!

As we are in Q3 of this year, I am noticing some shifts in the market. I woke up today with plenty of "Price Cuts" from the listings. I guess many investors are hesitant during this period, probably due to the holiday season coming up. I believe that Q3 could offer more opportunities, especially with the gap of negotiation there. Many investors and sellers tend to slower pace during this time, anticipating a busier market in Q4. This seasonal slowdown means fewer competing buyers, and this gives savvy investors the upper hand in negotiations. Simple economics, supply and demand. With less demand, sellers may be more motivated to offload properties, especially those facing higher holding costs due to rising interest rates.

Also, the election season plays a major role with what's going on. Historically, election years bring uncertainty, and this one is no different. The uncertainty around potential policy changes related to housing, taxes, and economic strategies has already caused some investors to wait on the sidelines. But this hesitation can actually create opportunities for more investors to step in. 

In Jacksonville, the market continues to be strong in 2024, with some cooling off after surging activities of previous years. The median home price in Jacksonville sits at around $302,000, and homes are selling quickly, often within 31 days, if priced right. However, during Q3, as competition dips, investors could find properties selling below asking price, creating great value opportunities. These drops are due to lower demand and market corrections. Overall, in markets like Jacksonville, where the demand for both homes and rentals remains strong, there’s significant potential for investors who are ready to snatch the opportunity. The key is to stay informed and monitor the market.

Being in the real estate business, I enjoy watching real estate news on social media, it gives me peace of mind. But when it comes to watching people say we are headed for a market crash like what happened in 2008, this frustrates me. Let's get real for a second, the 2008 crash was driven by a housing bubble, risky subprime loans, and a complete lack of financial oversight. Today, we are just dealing with a different set of circumstances. Yes, market is volatile, interest rates are fluctuating, but the fact that we can't neglect is that banks are more regulated, lending practices are stricter, and the housing market is not based on a pile of risky mortgages. 

@Sharon Vornholt , @Nichole Gabriel, @Steve Babiak, and everyone else. I'm just in love this thread. Wow three pages and the thread kept going. I wonder what are you guys now into, 11 years after. I was reading through the thread and I am like thank god, technology changed things now a days. 

I wonder how things went with Nichole.

Sharon, do you still think listsource is as efficient as it was?

Is Absentee owner still as good as it was with the same criteria Sharon was mentioning?
I am fresh in the market and would love to hear from y'all :)

Thanks in advance!

Hi Les,

The forecast for the Fort Wayne Metropolitan Statistical Area is optimistic, predicting a growth rate that gradually increases throughout the year. For Northwest Indiana, while January saw a slower start than anticipated due to weather conditions and possibly a lack of awareness about current mortgage rates, the outlook remains positive. Both areas are expected to see an increase in listing and selling activity as the year progresses, especially if mortgage rates stabilize​. This looks great for Indiana's market, whereas there are other markets that are stronger over the long term. 

Here are some resources I am referring to:

https://www.noradarealestate.com/blog/fort-wayne-real-estate...
https://quadwalls.com/blog/northwest-indiana-real-estate-mar...
https://quadwalls.com/blog/indiana-real-estate-market-prices...

Feel free to reach out if you have any questions! 

Based on reading recent insights from Start Packing Up and Jax Daily Record, there are indicators from January of this year that Jax's real estate market has been going through ups and downs. Yet with what I have been witnessing through my investments in Jacksonville, I can only say that these ups and downs may be a game changer to redefine the landscape for buyers, sellers, and investors. 

Based on Start Packing Up, January has witnessed significant drops in Jacksonville's market. Starting with closed sales; which have dropped 28% from what it was in the previous month, to median days on the market which have risen 13% from the previous month indicating a slowdown in the rapid pace of the market. However, the year-over-year data shows a better vision of the market.  These changes make us wonder if we're just seeing normal slowdowns or if these are the first signs of a deeper transformation.

Despite these challenges, the overall economic indicators show more optimism. With the drop in interest rates and the easing of the Fed's interest rate policies, there's an anticipation of a more favorable lending environment which allows investors and home buyers to be more considerate of buying properties. This will, indeed, restore confidence in the market, offering more purchasing power. As someone who buys and invests in this market, I believe that the Jacksonville market, with its current dynamic environment, is set to offer a glimmer of hope with the economic recovery. 

What do y'all think?

https://www.startpackingup.com/jacksonville-housing-market

https://www.insurancejournal.com/news/southeast/2024/02/28/7...

This year, experts have noticed that the real estate market has been witnessing an increase in foreclosure activities across the country, including a remarkable shift in commercial foreclosures. As I have been reading through ATTOM's recent data, I want to share how these developments are shaping the market's landscape. 

As of January of this year, ATTOM's data shows that there has been a 5% year-over-year increase in foreclosure filings across the United States, marking a 10% rise from late 2023. This increase is due to a mix of legal work that has been done since the holidays and bigger economic reasons like rising interest rates and inflation. marking a cautious and important time for the market. In states such as Michigan, Minnesota, and California, those saw significant increases in completed foreclosures REOs, indicating impacts on these areas.

Starting with the commercial real estate foreclosures. The commercial real estate sector is experiencing a sharp rise in foreclosures, with an almost 97% year-over-year increase by January. This highlights that the sector is ongoing adjustments to post-COVID realities and shifting economic policies.  This is being led by states like CA, NY, and TX which shows how strong the market is and how its problems are always shifting.

Syracuse, NY, would be a great example of market shifting.  Even though there have been more foreclosures across the country, yet the houysing market in Syracuse is still very competitive. Whereas homes are selling rapidly, indicating a strong demand and a vibrant market.  The median sale price in Syracuse is still lower than the national rate, which makes the market even more competitive. The housing market in Syracuse is also expected to keep growing, with both property values and sales activity likely to go up.

There is a lot of challenges and chances in the current situation, which includes more foreclosures and a competitive housing market in places like Syracuse. For investors, the rise in foreclosures means that there are more chances to buy properties at prices below what they're worth. In the meantime, people who want to buy a home in markets like Syracuse can take advantage of the low prices and strong competition. However, they need to act quickly because these markets move so quickly. 

https://www.noradarealestate.com/blog/syracuse-real-estate-m...

https://www.attomdata.com/news/foreclosure-trends/u-s-forecl...

Jacksonville's real estate market has experienced tremendous growth, drawing investors to concentrate their holdings and investments in the city. Projects like Gateway Jax, which is a development anticipated to cost nearly $2 billion, provide evidence of this expansion by showcasing the city's robust economy and the confidence investors have in its real estate market. This metropolis is prepared to surge toward even greater heights of development, not merely hold onto its current speed. Jacksonville's real estate market is characterized by a stable yet dynamic environment, a good number of reasonably priced home options, and a strong economy supported by notable job and population growth.

First, as far as market characteristics go, Jacksonville offers a balanced market, meaning that neither sellers nor buyers have a clear edge. The virtually equal sale to list ratio of 0.985, which represents fair negotiations and opportunity for both sides, reflects this balance. Average house values have decreased by 2.3% over the last year, but by the end of 2024, the market is predicted to expand by 4.5%, indicating a strong recovery and bright future.

As of December 2023, Jacksonville has a median listing price of $308.9K, and a median selling price of $298.5K for residences. This takes us to an average of $192 per sqft listing price, showing affordability in such an appealing market. To prove this, in December of 2023, houses were being sold at average prices or a little less than that, yet at an average of houses sold higher than before. This shows the city's expanding potential for both investment and homeownership.

Jacksonville, being a strong market for investors, allowed investors to pay $330,000 on average for single-family rental properties, which is, according to studies, less than the national average. The housing affordability in this city combined with a steadily increasing home demand brought on by job and population expansion makes it an attractive market for long-term investments as well as short-term rental revenue.

As for the population in Jacksonville, it is predicted to expand faster than the national average, reaching 1,749,964 by the end of 2024 in the metro region. In addition to substantial job growth (29,400 new positions from 2022–2023), this 24.22% increase over the previous 12 years highlights the city's economic strength and the rising housing demand.

I see Jacksonville's real estate market is set for more growth in the coming few years.

https://www.noradarealestate.com/blog/jacksonville-real-esta...

https://www.realtor.com/realestateandhomes-search/Jacksonvil...

https://realwealth.com/?markets=jacksonville-florida

Urban centers in the US have been witnessing some paradigm shifts in the real estate investment landscape. Co-living spaces have been trending recently more than ever before. I will be discussing the growth of co-living investments and their potential to redefine urban living and real estate investment strategies in the nation.

For those who don't know, co-living is a modern form of communal living where residents share living spaces while retaining private bedrooms. It is gaining demand in big populated cities like New York, San Francisco, and Chicago. Co-living solves affordability issues, fosters community, and meets the lifestyle preferences of millennials and Gen-Zers. 

Some investors find co-living a good opportunity to capitalize on the high demand for affordable and flexible housing solutions. The reason behind that is the thriving amidst the urban housing crunch, which offers higher occupancy rates and yields compared to the traditional rental models. Investors are noticing the strong market demand for co-living within their properties, as some Chicago investors witnessed a 95% increase in occupancy rates within a month or two.

If you wonder why investors are drawn by the co-living concept, this is because it maximized the use of space and caters to a growing demographic of urbanites seeking community and convenience, as well co-living properties often command higher per-square-foot rents than standard apartments. Additionally, the scalability of co-living models allows for diversification across markets, mitigating risks and promising sustainable growth. In Columbus, OH, a recently launched co-living complex has become a case study in success, by achieving full occupancy ahead of schedule and generating buzz for the innovative amenities and community-focused design. Similarly, in Denver, a co-living startup has successfully attracted significant venture capital funding, highlighting investor confidence in the model's scalability and profitability.

As we see signs of health and potential growth in the DFW real estate market, this could be underpinned by strategic adjustments to emerging challenges and opportunities. Despite the growth in the DFW housing market, it continues to navigate through the complexities of high mortgage rates and the balancing act of supply and demand. With mortgage rates peaking at their highest levels in over 20 years during 2023, the market faced major obstacles, including the limited supply that has consistently challenged investors. However, the recent interest rate drop indicates a more optimistic overview of the market. This should be a hint that inflation is slowing down, yet there are plenty of other indicators to consider to understand what side the market is taking,

For instance, forecasts are being mixed with different overviews. One forecast anticipates a drop in home prices by 8% and a fall in sales by nearly 13%. However, the National Association of Realtors is still optimistic about pentup housing demand in Austin and Dallas, seeing a major growth for these. On the othe hand, inventory remains a crucial concern, with the DFW area experiencing a low supply that doesnt meet buyer's demand. This imbalance has led to a tight market, especially in high-demand neighborhoods, driving up prices for newly built homes, not luxury ones, due to rising construction costs. 

I think that this year is expected to be a year of cautious navigation. Interest rates and inflation will play pivotal roles in shaping the market's side, alongside geopolitical and election-year dynamics.