{"id":4045,"date":"2008-08-23T06:19:16","date_gmt":"2008-08-23T13:19:16","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=4045"},"modified":"2008-08-22T12:20:09","modified_gmt":"2008-08-22T19:20:09","slug":"buy-low-sell-high-you-cant-sell-high-for-now-but-prices-are-low-enough-that-a-buy-and-hold-strategy-could-pay-off-handsomely","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/4045\/buy-low-sell-high-you-cant-sell-high-for-now-but-prices-are-low-enough-that-a-buy-and-hold-strategy-could-pay-off-handsomely\/","title":{"rendered":"Buy low? Sell high? You can’t sell high for now, but prices are low enough that a buy-and-hold strategy could pay off handsomely"},"content":{"rendered":"

This is my column for this week from the Arizona Republic<\/i> (permanent link<\/a>).<\/p>\n

 
Buy low? Sell high? You can’t sell high for now, but prices are low enough that a buy-and-hold strategy could pay off handsomely<\/strong><\/p>\n

Last week I met with a potential real estate investor. She’s an investor because she’s got the money, the credit and the will to dip her toe in the water. She’s a potential investor because she hasn’t yet been a landlord.<\/p>\n

With new investors, I talk about premium suburban single-family rental homes. This is normally the safest, most economical way to start a real estate investment plan in Phoenix. That’s especially true right now, when the right rental home will be cash-flow positive from the outset.<\/p>\n

But I also talk about other income opportunities in real estate, if only because land-lording is not for everyone. I would not advise a first-time investor to take the plunge in a large multi-family community or a strip mall, but there are plenty of other ways to take advantage of our current market conditions.<\/p>\n

An example? Flipping. There never was heard a more discouraging word, but flipping has a horrible reputation because a horde of TV-educated tycoons bought at the top of the market and sold their refurbished masterpieces at auction. Now, when entry prices are low and trending lower, a slow flipping strategy promises nice rewards.<\/p>\n

Here’s one slow strategy: Find a great flip candidate at a rock-bottom price. Buy it to own as a rental. Hold it in that state — with the monthly cash-flow covering your costs — until prices recover to your satisfaction. Then do the refurb and sell.<\/p>\n

Here’s another one: Buy your cheap refurb candidate and move into it. Redo the home slowly, room by room, especially when the materials for doing a particular room are very cheap. Sell it after you’ve owned it for five years or more and take the capital gain tax free.<\/p>\n

There is a common investment idea behind these strategies: Buy low. Sell high. You can’t predict when you’ll be able to sell high, but you know for sure you can buy low right now. If Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

This is my column for this week from the Arizona Republic (permanent link).  Buy low? Sell high? You can’t sell high for now, but prices are low enough that a buy-and-hold strategy could pay off handsomely Last week I met with a potential real estate investor. She’s an investor because she’s got the money, the […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,6,5],"tags":[],"class_list":{"0":"post-4045","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-investment","7":"category-marketing","8":"category-real-estate","10":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":3952,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/3952\/give-me-your-money-part-ii-emergent-investment-opportunities-in-the-recovering-real-estate-market\/","url_meta":{"origin":4045,"position":0},"title":"Give me your money, Part II: Emergent investment opportunities in the recovering real estate market","author":"Greg Swann","date":"August 17, 2008","format":false,"excerpt":"Last Tuesday I met with a potential real estate investor. She's an investor because she's got the money, the credit and the will to dip her toe in the water. She's a potential investor because she has never yet been a landlord. That's okay. I've worked with many potential investors,\u2026","rel":"","context":"In "Investment"","block_context":{"text":"Investment","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/investment\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6180,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/6180\/workable-real-estate-deals-may-require-even-more-creativity\/","url_meta":{"origin":4045,"position":1},"title":"Workable real estate deals may require even more creativity","author":"Greg Swann","date":"December 20, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link). \u00a0Workable real estate deals may require even more creativity I do a lot of work with buy-and-hold rental home investors, more and more of whom are able to come into Phoenix with all-cash offers. Poor me, I\u2026","rel":"","context":"In "Investment"","block_context":{"text":"Investment","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/investment\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":924,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/924\/the-right-time-to-buy-an-investor-perspective\/","url_meta":{"origin":4045,"position":2},"title":"The Right Time to Buy: An Investor Perspective","author":"Cooksquared","date":"January 22, 2007","format":false,"excerpt":"As we considered when to restart Cook Squared Enterprises, one question we had to ask ourselves was if it was the right time to buy. With interest rates creeping up and home values creeping down, is now the time to make a large purchase? Additionally, in my spare time I\u2026","rel":"","context":"In "Blog Carnivals"","block_context":{"text":"Blog Carnivals","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/blog-carnivals\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2793,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2793\/your-rental-home-in-phoenix-will-generate-positive-cash-flow-but-will-it-appreciate-significantly-in-the-coming-years\/","url_meta":{"origin":4045,"position":3},"title":"Your rental home in Phoenix will generate positive cash flow — but will it appreciate significantly in the coming years?","author":"Greg Swann","date":"March 18, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link): \u00a0Your rental home in Phoenix will generate positive cash flow -- but will it appreciate significantly in the coming years? It's still a buyer's market out there, but is it an investor's market? The answer to that\u2026","rel":"","context":"In "Investment"","block_context":{"text":"Investment","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/investment\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1685,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1685\/real-estate-investing-vs-stock-market-investing-is-there-a-clear-winner\/","url_meta":{"origin":4045,"position":4},"title":"Real Estate Investing vs. Stock Market Investing- Is there a Clear Winner?","author":"Cooksquared","date":"July 23, 2007","format":false,"excerpt":"Real estate enthusiasts have been sounding their trumpet during the latest run in the real estate market. Many real estate focused investors truly believe real estate outperforms every other investment by a wide margin and even go as far as to wonder why investors would choose any other investment vehicle.\u2026","rel":"","context":"In "General"","block_context":{"text":"General","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/general\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":3107,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/3107\/are-you-an-investor-looking-for-a-rental-home-that-will-stay-rented-buy-a-home-thats-worth-living-in\/","url_meta":{"origin":4045,"position":5},"title":"Are you an investor looking for a rental home that will stay rented? Buy a home that’s worth living in","author":"Greg Swann","date":"May 12, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link). I wrote this last Tuesday, but it coincides nicely with Barry's post this morning. \u00a0Are you an investor looking for a rental home that will stay rented? Buy a home that's worth living in I represented tenants\u2026","rel":"","context":"In "Investment"","block_context":{"text":"Investment","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/investment\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4045","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=4045"}],"version-history":[{"count":1,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4045\/revisions"}],"predecessor-version":[{"id":4046,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4045\/revisions\/4046"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=4045"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=4045"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=4045"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}