The times keep getting even more interesting for all the Real Estate Investors out there. It seems like pending sales have crashed and retail buyers interest is slowing down. Most investors haven’t got the memo and are still putting out tons of offers.
At this time we don’t have a ton of retail inventory and we are still getting calls and showings on what we do have. I am thinking inventory is going to start going up, prices will stop increasing and probably slightly drop. There will definitely be even more of a “two tier” market. Entry level stuff, or stuff that cash flows probably won’t get hurt as bad as the middle class, to high end houses (300k+ for us in the Inland Empire).
Does this change our strategy? Not really. We are still happy to buy, probably going to lower our purchase prices a bit.
I think when times will really get interesting is December/January when the market is already pretty slow. But who knows, by then the government could add some more incentives back-in.
Buyer’s agent seemed burned out right now, they sent in hundreds of offers for some clients and now they’re disappointed they couldn’t pull in the tax credit.