My neighbor is being foreclosed

[thaidyed]

I wonder if buying now, to rent out (investment purchase) makes sense in light of the fact that more and more people are going to be renting for a while?
I refer to people who've been foreclosed on as well as people you'd expect to be setting up a started home but can't get credit, etc...

But like CFB says, the prices aren't really down enough (at least in the places I've looked~ norcal) to justify as an income earner. Though perhaps still could do as a long-term investment to sell well down the line and enjoy tax breaks in the meantime?

Oy vey...I practically grew up in a real estate office (i knew what MLS was before I was ten and made pocket money 'farming') but this market? yeck.

[CitricAcid]

Maybe, if you are looking for rental income instaed of appreciation, North Cal isn't the place to be looking. There are many places where the rental income would be much more attractive and able to produce positive cash flow (wait a little bit and L.A. will be at that point). Just don't think if you are looking for mostly cash flow that North California is the best place to start...

[bssc]

Quote:

Originally Posted by NW-Bound I remember the term "banana belt" used to describe a retirement haven in a financial magazine, perhaps in Montana. I am racking my brain, yet cannot recall the state. What I remember was the aerial photo showing a nice lake, a river with boat docks and surrounding green hills. House prices as I remember were not exceptionally low, but quite reasonable for such scenic locale.

The area in Colorado where we own land, Buena Vista, Westcliffe etc, refer to themselves as the Banana Belt for their mild winters.

[NW-Bound]

Quote:

Originally Posted by bssc The area in Colorado where we own land, Buena Vista, Westcliffe etc, refer to themselves as the Banana Belt for their mild winters.

Thx. A quick research on the Web shows several locales calling themselves "banana belts". I've been to CO, but not Buena Vista. Once retired, and not needing a job, the choices for relocation are numerous.

[Westernskies]

Quote:

Originally Posted by NW-Bound Thx. A quick research on the Web shows several locales calling themselves "banana belts". I've been to CO, but not Buena Vista. Once retired, and not needing a job, the choices for relocation are numerous.

Here is my favorite "banana belt":

[cute fuzzy bunny]

Quote:

Originally Posted by NW-Bound Thx. A quick research on the Web shows several locales calling themselves "banana belts". I've been to CO, but not Buena Vista. Once retired, and not needing a job, the choices for relocation are numerous.

Just be advised that a 'mild winter' for colorado might mean that it rarely drops below -10.

[laurence]

Today was "moving" day (eviction day?). Kind of creepy, the guys clearing out the property had russian accents, and from what I could hear it wasn't nice laughter coming over the fence. "Gazebo isn't part of the list - "CRASH" - now it's firewood. Ha ha ha".

I just hope their kids didn't see much of it. I hope they just think it's an adventure. I know they are moving to Florida. I wish them well.

Hopefully I don't have a crack head neighbor tomorrow!

[redmcclain]

The house across the street from us was foreclosed last year - it sat empty for a few weeks (month?) before a realtor purchased it and had the tall grass cut. In the end a nice, older woman purchased it - she throws great parties for her grandchildren when they visit with a huge inflatable bouncy castle.

Ironically, the rumor in the neighborhood is that the previous foreclosed owners were meth dealers. I never witnessed anything suspicious but perhaps even the meth market is experiencing a decline in revenue.