Win By Losing Less

by Nasrul Hanis

As nowadays interest rates rise and the number of new buyers searching for properties begin to increase, the supplies added to the real market situation is can be good or bad news to the investors and owners. Some people might get profit while some people lose more than they ever expected.

In the coming months, I predict we can see the increase of people dumping real estate which they can’t afford. They will be forced to sell the properties due to the negative cash flow. Remember that if you can’t make yourself as a predator, you have the possibility to be eaten. Some people lost at the middle of the journey and they can’t make it again.

But do remember that losers not always lose – except they stop trying.

Some people say the current real estate market is poor. I do not agree with this – we have a large market today. The poor thing is how the responsible people/party deal with the situation and involved properties thus makes the market looks poor on the surface although there is still lot of empty space to be filled.

You have no time to warm yourselves where you have to make decisions into account. You should immediately have the money. Sellers might act a little more humble so you must know how to deal. Negotiate better and make a better offer – you have to keep that in mind.

In order to win and losing less, you have to be familiar with the situation. Make your research.

  • What is the average age of homeowners in the area?
  • What is the occupation types in the area?
  • How is the adequacy of infrastructure/utilities in the area?
  • How is the crime level in the area?
  • Is there any government policy in the area for current/future?

So the trick is to keep your eye on your target in the market. Keep you eye open and updated to the real estat investment trends. Speak with local agent. Try to deal with flippers – scout, dealer or retailer. Find your friends and always make yourself know what is the deal in the area.

In order to win, you have to lose less. But remember that winner not always win. You might lose sometimes but make it less and you’ll win.

{ 15 comments… read them below or add one }

Lucy @ Estate Planning Hub May 17, 2010 at 11:25 pm

When the economy is so bad, it’s a shame that you have think about “how can I lose the least,” but it is the reality of the situation. The long run is what matters anyway though. That’s why it’s important to not have huge losses.

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Nasrul Hanis May 31, 2010 at 9:06 pm

Yeah.. and it’s the goal for most of investors.. getting more profit and avoid huge losses. But I believe in business anything could happen and I agree with you – the long run should be keep in mind while we’re planning the way.

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Laura Morton May 19, 2010 at 1:30 am

The residential real estate market is good for the buyer. However, we have a catch 22 situation. You need cash. If you have cash there are deals falling into your lap every day. Not many of us are this fortunate. We have to bow to the banker ask politely ask for some money. After weeks of emails and follow-up phone calls we finally get an answer. And if the answer is favorable, there are so many strings attached we can hang ourselves.
The best strategy now is to form a small group, pool your resources, and buy a few properties. Make sure that in your group are people who are trustworthy and who don’t mind getting their hands dirty.

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Nasrul Hanis May 31, 2010 at 9:03 pm

Forming a small group and then get some properties is a nice idea to start investing in real estate business. You made me realize it’s better to find partners than try to survive alone.

However the important thing is we must find the trustworthy one. Or the result might be different.

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Stuart May 19, 2010 at 6:30 am

This is a great market for real estate investors. This is the best investment market we have had in a long time. Today you can buy a house and rent it out for a small profit thanks to home values and low interest rates.

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Color Business Cards May 20, 2010 at 12:46 pm

It’s so true. One will only be a loser if they stopped trying and lose hope completely.

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New homes for sale Cincinnati May 21, 2010 at 5:42 am

We have seen much success in this by dealing with many Realtors that specialize bank properties. If do a little research on what the bank has it in this can go a long way on a successful negotiation.

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Gilbert Chiropractic May 27, 2010 at 6:32 am

This is only good if you are liquid yourself. If you do not have the available cash, then you would definitely be hard-pressed to get the property you want in the price-range that you want.

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Owner Finance July 15, 2010 at 10:49 am

Cash buyers have it made in this market. There are so many smoking hot REO deals out there it’s ridiculous.

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The Best of Buffalo May 28, 2010 at 9:40 am

I believe we have a large market today, but if you do not have money then you have no assurance that you will become successful. Find people that will help you and find the people that think just like you when it comes to real estate.

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Accordion Doors June 12, 2010 at 3:53 am

You gave some good advice in this article and I am happy you pointed out the need to focus on the future and don’t stop when times get tough. I like the idea of getting a group of people to invest with, but like the comment was made earlier, you have to make sure you are dealing with honest and morale people.

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Arizona Private Lenders June 23, 2010 at 12:52 am

Good post. Thanks for the inspiration.

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Palmdale Homes June 28, 2010 at 5:13 am

Good tips for working with sellers in the current market and a lot of people have dropped off, which only makes room for the people who don’t give up. Thanks for the advice and positive outlook.

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Singapore Property June 30, 2010 at 6:44 pm

I found this very informative article so thanks to share this post with us.

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Signs Melbourne July 2, 2010 at 3:02 pm

“if you can’t make yourself as a predator, you have the possibility to be eaten”
That’s a pretty blunt statement, but I suppose it’s true. The law of the jungle truly does apply in real estate. I’m going to head off now and search for my next real estate meal…

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