comparables

August 24, 2015

Your Rental property is not worth what you think it is…

August 24, 2015 Today’s New York Stock Exchange activity was historical. Ouch. We may be in for continued volatility for the near term in the equity markets, which reminds me of how this relates to your rental properties… When I speak with new potential clients, the conversation usually goes something like this…. Property Owner: “I’d like to rent out my house, but I need to get at least $1500 a month because we bought it at the height of the market in 2008 and owe too much on the mortgage still to sell it. Can we get that amount for the house?” Me: “Well, according to the market comps and the demand for your house, I don’t think we can get anything higher than $1300 a month.” Property Owner: “But you don’t understand. I NEED $1500 a month in rent.” Me: “I certainly appreciate your needing to maximize the revenue […]
March 9, 2016

Housing Market Recovery–Split like Charles Dickens classic….

Today’s WSJ published an article about the US Housing Market recovery diverging into two recoveries.  Reminds me of the Dickens classic a bit…. Essentially, lower priced inventories are vanishing fast while inventory on the higher end piles up.  While on the surface this might seem like “Economics 101” (and it does reflect some of that light) there is more to the story, especially as it relates to your rental portfolio positions and future purchases. WSJ Housing Market Takes on Split Levels 030816. Here’s some of the highlights from the article: On the low end, after a slow recovery from the housing bust, first-time buyers are finally returning to the market, bolstered by still-cheap mortgages. But after years of little new construction, inventory is still tight. High-end buyers, meanwhile, are more sensitive to the stock market’s struggles this year.           So…..how does this information impact your rental […]
April 12, 2016

Liar Loans making a Comeback….future opportunity to buy more Rental units?

Have you seen this movie yet? If not, don’t worry….you will soon possibly be re-living it in just a few years. According to this WSJ article, similar loans are coming back around. (ADA Moment here:  Did ANYONE on Wall Street or in the lending world learn a damn thing since 2008 real estate meltdown?) Sigh….. Ok, now that I have that out of my system, here’s the link to read the entire article.  Liar Loans making a comeback Here’s my thoughts on this situation: Keep some of your powder dry.  With the reintroduction of these types of higher risk loans, this implies there will be good opportunities in the next 3-5 years to pick up more distressed properties. Greed is good….for you and I to take advantage of others hubris and ignorance.  Just make sure you don’t get too greedy.  Pigs get fat–hogs get slaughtered! Take stock of your current […]
May 25, 2016

April 2016 Rental Stats–Indianapolis markets

Good afternoon, everyone! We’ve updated our monthly market report for Indianapolis and all the surrounding areas.  Click the link below for all the April 2016 stats! Dan Baldini Rental Stats 2016 Indianapolis markets
August 15, 2016

July 2016 Rental Data

Good afternoon! We have published the YTD Rental Stats for the 14 market areas we track in the Indianapolis area. We have also changed this to a protected file format since it is proprietary data analysis unlike anyone else provides and have started to charge for this data. The whopping amount for access? $5 To change your membership from the free level to the Financial Freedom Member Level, click here.     Skip the Starbucks once a week to skip faster into your Financial Freedom. Do it. You’ll thank me each month as you keep watching your bank account gro   July 2016 YTD Indy Rental Stats      
September 8, 2016

Are we in another Housing Bubble already?

  Kids like bubbles.  Even dogs like bubbles. Real Estate Investors typically don’t like bubbles.  But it doesn’t have to be that way if you think about it…. A recent article on CNBC highlights the possible statistics pointing to another Housing Bubble for specific States and Cities in the US. However, unlike the last major bubble, the underlying forces causing this bubble are distinctively different. Here’s the full article link:  http://www.cnbc.com/2016/08/29/were-in-a-new-housing-bubble-why-its-less-scary-this-time.html My favorite Take-Away paragraph from the entire article is this…. “Rental demand, especially for single-family homes, is very strong and is an attractive income stream for individual investors and current homeowners. As millennials age into their prime homebuying years, more than ever before they are choosing to rent single family-homes, because they either don’t meet mortgage credit requirements or are unable to save for a down payment because rents are so high.” So, if you’re worried how the housing […]
November 15, 2016

Should You Sell All Your Rental Properties?

ARGGHHHHH!!!!! Economic uncertainty is nobody’s friend but lately, if you watch the talking heads and read the mass media pundits, you would think the world is coming to an end and the rapture is here. I’m not so certain these folks are using the correct lens to look through for their prophesies…. This article by David Lynn, Ph.D., covers some of the flight and self-preservation concepts very nicely.  He also reminds the reader that business is a cycle with repeatable stages of peaks, contractions, troughs, and expansions. “So where are we now?” is the BILLION dollar question, isn’t it? Here’s Dr. Lynn’s conclusion for those of you who don’t care to read the entire article: We are in a very unusual situation in that the normal pattern of oversupply has not occurred in this real estate recovery. This bodes very well for the real estate market. Over-supply has always killed […]