All Forum Posts by: Winfred Brown

@Winfred Brown I think another thing to keep in mind is that you have to be prepared for times when the property will not be generating any cash flow, like when tenants move in or out, this can often take well over 30 days and allow for repairs.  We often have investors that we manage properties for that did not allow a buffer to replace things like the HVAC system, then it becomes a struggle to keep tenants. 

Timing the market rarely works and if it does it's usually about 95% luck and 5% skill.

As others have said, the best time to buy a property is when you find a deal that meets your criteria @Winfred Brown. Don't get too caught up on finding the "perfect" or "home run" deal - you will find yourself chasing it for years with nothing to show for it. Determine your criteria based on what your desired market is telling you and then when a fitting property pops up, jump on it. 

Thanks Filipe. I will do just that!

So far the residential market has been quite ignorant to CV. The market felt for a while like December, just slower, but buyers are getting restless and we have not had enough inventory before, it got squeezed even more by covid, as many sellers did not want to have people in their homes and just postponed until later. A part of me wishes for discounts to buy more rental properties for our portfolio, but based on the data I see this may only happen in the luxury segment 500k up and not before 2021 - shortsales and forclosures take about a year to materialize.

Seize the moment, if you find a good deal, grab it while you can! 

 Yeah, I would would piggy back on what @Cameron Tope had to say. It largely depends on your personal situation. I think if you have a steady job and some savings then now is a perfect time to get started. My rentals have largely been unaffected by this pandemic because I focused on having good tenants from the very beginning. All of my rent has been paid and my tenants were great about communicating through the process. If you have a few listed properties that you have your eye on, now might be a great time to make an offer. Even if their listed price hasn't been reduced, the "uncertainty" in the market might cause sellers to accept a deal they otherwise wouldn't. Good luck!

There are deals in every situation. 

Economic factors as well as personal factors affect an individual's circumstance, so you can find deals in any environment. In these times you'll have to pay more attention to your analysis of the deal as there will be a lot more uncertainty around the estimates that you use. So to answer your question directly.... it depends. But I wouldn't let it stop me if I found a property where the numbers work and I have a strong justification for the estimates that I use in my analysis.

It really comes down to the extent to which YOU are being affected by COVID-19. Our W2 jobs have not been affected, so we continue to invest. I would probably be much more hesitant to invest if there were a chance that our jobs would be affected.