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About Connie Wildasinn
Expertise
Buying or Selling Residential and Income/Investment Properties, How to understand the process, how to negotiate, What to Look for, How to tell if the time is right. Why not to listen to your friends. Understand why any market is a good market and how to spot a good investment for you.

Experience
4th generation realtor in the real estate business, I have over a decade of helping clients buy and sell, I am the owner of a local brokerage in the Los Angeles/Long Beach area, and have been a top producing agent in the area since I became licensed.

Organizations
NAR, CAR, WCR, BKBIA, CHNA

Publications
Broker Agent Magazine

Education/Credentials
Broker-owner

Awards and Honors
3 years running top female selling agent in Long Beach, Top Producer 5 years straight Re/Max, C21, Realtyworld.

Past/Present Clients
upon request

You are here: Experts > Shopping > Home Buying/Selling > Buying or Selling a Home > Buying is this environment

Buying or Selling a Home - Buying is this environment

Expert: Connie Wildasinn - 9/24/2008

Question
QUESTION: Hi Connie!
I live in northern California and am just about ready to make an offer on a lakefront property in Georgia. Considering all that's going on with regard to the "bail out" of our sorry economic mess....I have a couple of questions. I realize it's a buyer's market but is my position stronger as a result of this mess? Should I sit back and wait to see what happens? Will a seller consider that this situation will get better, soon, as a result of the programs, in Washington, that are being considered? Do you have any other advice based upon our current situation? Thanks, very much, for your thoughts. By the way, I'm a cash buyer so no mortgage will be involved.

Charlie

ANSWER: HI Charlie,

Congratulations on wanting to be an investor! I am a strong believer in real estate, and now is a great time to buy property. As a buyer please keep in mind that at the end of the day, all sellers unless they are caring back paper (a loan note) will receive CASH… now for what cash does for the transaction, cash will remove the issues of an appraisal, how a bank may consider the loan to value… however you should always do yourself a favor and be forewarned. Have an appraisal from a certified appraiser (small cost for the return if your numbers are wrong) or a BPO – Brokers Price Opinion from a trusted agent. Do not count on your buyers agent from another state to be all that accurate, unless you have worked with his agent in the past. Although every agent works hard (or should) and is diligent for their clients (or should be), as the market hardens and transactions dwindle the agents may start looking out for their own pocket. Most won’t … but again, buyer beware, you are purchasing in a different area than where you live and play, so be informed to the local conditions and market trends. Understand the type of renters you will have, and quality they will want. And especially what different properties can obtain in rents. Something else to think about is what on the property can I do to increase the rent potential? Add a private yard space, allow pets, subdivide to create more units etc. Those who see past what they are looking at typically do better in the investment arena.

Now back to your real question…. Is this a good time to buy with the current economics of the nation? YES! There are a couple of things that make your transaction a little different and unique. You are purchasing a lakefront property… that alone makes it unique… to buy inland somewhere, where streets and homes are not unique, you can be a little more generic about the building… the land you are buying is a one shot deal, When you are at a natural break point, the ocean, lake mountain, etc. that alone will make it special… if this property then get better than average rents due to the specialness, great! Just make sure it is not so unique, it is the white elephant, everyone sees, may even talk about, but does not really want to own or live in. Don't be the needle in the hay stack in investment properties. Look at this from an investment standpoint. Be smart, does the money invested work with the rents received? Is my money making money or not?

I do believe we are in for harder times than we are seeing right now… the beauty for most buyers is the fact that they can still obtain a loan! That may not be so in the coming years; money is tightening, not getting looser. And with the bail outs, yes to some extent Wall Street is feeling more comfortable about things, but the oversights have not been determined as of yet and more fall out will come for sure. You are in the fortunate position of cash; cash is always king in a non-liquid money market. And many more foreclosures are still coming… but if you can spend today, make good rents and have room for appreciation later … go for it!

---------- FOLLOW-UP ----------

QUESTION: Hi Connie,
I'm going to rate your reply as 'absolutely outstanding' and want to thank you for such a substantial and thoughtful response; you truly went beyond the call of duty!
The property I'm considering is on Lake Sinclair, in central Georgia, and it's a terribly unique property in that there is a huge amount of sea walled, peninsula, lakefront property. I'm fortunate in that I don't need to rent it out but, at the same time, I want to make a good buy. My thinking, in part, is that if we're headed for an inflationary period, my money would be more effective in real estate than anywhere else...and, besides, this is something I truly want and can afford. If you have further thoughts, I'd appreciate them; otherwise, thanks, so much, for such helpful information.

Charlie

Answer
Hi Charlie,

You sound like you have a heart felt tug to this property! So good for you for having the cash, buy the property... I live in Southern California near the water, and believe me... for the few people who get the pleasure of being able live at the water... it is wonderful... the rest of us... well we get to visit... Have a great time in your new property! The great thing about real estate there is only a finite amount of it, and once built on, and owned that is it ... Enjoy!

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