Super Bowl and Real Estate!

Today is the last official party of the holiday season and the beginning of the real estate market.  The Super Bowl is the culmination of a long season of hard work and the overcoming of adversity.  The 2 weeks prior to the game are the most talked about on radio and television.  If we spent as much analysis on real estate, billionaires would be made every day.

The trick to winning the Super Bowl is a combination of disciplined work habits, intelligence and staying injury free.  In real estate, you must stay disciplined to make your payments and not invest in “faddy” real estate, you have to do your due diligence which involves the study of your subject and you must stay “economically viable”.

In essence, you must be a finely tuned professional ready to take advantage of the market (i.e. foreclosures), keep your current investments in positive cash flow during harsh market conditions and only spend what you have.  Many in the past 3 years bought on margin hoping the market would continue to climb.  Big mistake, but not a deadly one if you have patience.

As an example, a developer friend of mine bought a property in the early 1990s when the market crashed.  All his contemporaries sold theirs to minimize their loss, or so it appeared at the time.  My friend decided to rent out his properties and have a slight cash flow loss until the market came back.  Well, when the market came back, he sold his properties at a huge gain because he had tenants help him carry the mortgage.

It is all about your work habits and having patience.  remember, happiness is not attained by reaching a goal, it is attained enjoying the journey to the goal.

If yo wish to speak specifics with me about investing, send an e-mail to Mike@MichaelDunn.com.

Happy Investing.

Mike