Rental Property Investment Resources

January home prices in Chicago fell for the sixth month in a row, approaching lows reached in the depths of the recession in 2009

The Chicago area fared worse than the national average, with the local index reaching its lowest level since 2001. The index for Chicago-area single-family home prices fell 7.5 percent from the year-ago period, and dropped 1.8 percent in January from December.

The Standard & Poor’s/Case-Shiller home price index covering 20 major markets fell 3.1 percent year-over-year, and was down 1 percent compared with December 2010, according to a report released today.

“These data confirm what we have seen with recent housing starts and sales reports. The housing market recession is not yet over, and none of the statistics are indicating any form of sustained recovery,” said David M. Blitzer, chairman of the S.& P. index committee in a statement.

Chicago was one of 11 metropolitan areas to hit a new low in January from their market peaks in 2006 and 2007. The Chicago-area price index has fallen 31 percent since its peak in September 2006.

After rebounding nearly 7 percent from its recessionary low, the national price index has fallen more than 5 percent since July and is only 1.1 percent higher than the bottom set in April 2009. As of January, average home prices across the U. S. returned to 2003 levels, the report said.
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Source: http://chicagobreakingbusiness.com/2011/03/january-home-prices-down-3-1-near-09-lows.html

Technorati Tags: real estate, real estate investing, chicago real estate, chicago housing market, chicago housing trends

In August, foreclosures set a new record high for the third time in five months, indicating that 2010 repossessions will shatter all previous records.

Remember: The housing bust TRIGGERED this great recession in the FIRST place! And now, despite $3.6 TRILLION Washington has thrown at this crisis, it is NOT getting any better.

And this is only the latest in a long parade of catastrophic housing news we’ve seen recently. Sales of new and existing homes plunged to the lowest levels on record in July. Home prices have now crashed a staggering 28% since 2006.

And now, while home sales are plunging, soaring foreclosures are exploding the number of houses for sale. That’s serious: The faster this gap between supply and demand grows, the faster home prices and home equity are likely to plunge in the months ahead.

That means more trouble for banks … more nightmares for borrowers … more pain for stock investors — and it also means investments that soar when stocks sink are set to make some investors much, much richer!

Where are the investing opportunities right now

This kind of foreclosure news should signal a further depression of home values which is great for better prices for investors who want to turn the property into a rental. Possible investing niches for single family homes:

• Foreclosures

• Short sales with strategy #1; strategy #2 or strategy #3

• Assign the contract

• Fixer uppers

• Government foreclosures

• Bulk REOs

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Source: NL from Mike Larson of Money & Markets published by Martin Weiss PhD

Technorati Tags: real estate, real estate investing, home foreclosures, foreclosure rate, rental property investing

The default rate for commercial mortgages held by banks in the first quarter hit its highest level since at least 1992 and is expected to surpass that by year-end and peak in 2011, according to a study by Real Capital Analytics.

That could spell prolonged problems for larger banks and even greater trouble for regional and small banks where commercial real estate loans comprise a greater percentage of all loans.

However, this situation also presents “Opportunity Knocking Profits” for smart investors, as I’ll reveal at the end of this article.

The default rate for bank-held commercial mortgages reached 4.17 percent in the first quarter, up from 3.83 percent in the fourth quarter 2009, according to a report released on Monday by the real estate research firm.

The figures do not include bank-held mortgages on apartment buildings.

Commercial real estate loans are contributing to banks’ elevated levels of loan losses, two years after the height of the financial crisis, as commercial property typically lags the economy by about 18 months to two years.

Deteriorating values, high vacancy rates and low rents are expected to push that rate past the 4.55 percent default rate reached in 1992 before year-end and peak at 5.4 percent in 2011.

Sam Chandan, Real Capital’s global chief economist, said that even though rents are starting to stabilize, lucrative leases signed during 2006 and 2007 are now expiring.

“Those prevailing rates in the market are going to be lower than what’s expiring,” said Chandan.

Commercial real estate prices in March were off 42.1 percent from their peak reached in October 2007, according to Moody’s/REAL All Property Type Aggregate Index.

Some $45.5 billion of bank-held commercial mortgages were in default in the first quarter up $3.7 billion from the fourth quarter 2009, according to Real Capital.

While the volume of commercial mortgages in default continued to rise, the quarter-to-quarter increase of $3.7 billion was the smallest single-quarter increase since the fourth quarter of 2008, Real Capital said.

Bank-held commercial mortgages split about even between large institutions and small to medium-sized ones

About 48 percent of all bank-held commercial mortgages were at institutions with $10 billion or more in assets. This group has the highest default rate for commercial mortgages, at 5.04 percent. But at 11.9 percent, the combined multifamily and commercial real estate concentration as a percentage of all loans was relatively low in the first quarter.

On the other hand, about 50.2 percent of all bank-held commercial mortgages were at small-and medium-sized institutions with between $100 million to $10 billion in assets. Although the 3.77 percent commercial mortgage default rate was lower than at the largest banks, the combined multifamily and commercial real estate concentration at these institutions was much higher at 33.4 percent.

Opportunity is knocking for smart investors

There are profits to be made for smart real estate investors who know how to find and finance commercial properties that are bank foreclosures, short sale prospects or are owned by other distressed sellers.

Shorten your learning curve and avoid costly mistakes with knowledge from seasoned investing pros. Take a look at these courses:

# Commercial Property Foreclosures The next real estate bubble starting to burst is commercial real estate. Learn how to buy commercial property short sales and pre-foreclosures for pennies on the dollar with 100% financing without good credit and without any real estate experiences or licenses needed.
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# Commercial Property Buildings Learn how to buy office, warehouse and retail buildings with no cash and no credit. Right now the most profitable units are retail stores, small office space and smaller industrial spaces like warehouses of 3,000 square feet and under.
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# Apartment Buildings Learn how to start making $24,000 per month (or more) in passive, cash flow, by investing in apartment buildings with no cash or credit within 90 days.
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Source: http://www.reuters.com/article/idUSN2426910920100524?type=marketsNews

Technorati Tags: real estate, commercial real estate, rental property investing, commercial foreclosures

RealUp.com, a growing commercial real estate website, has launched its ecommerce platform at TechCrunch Disrupt, the inaugural technology and innovation conference from TechCrunch, according to a recent press release.

New ecommerce options available for property listings include email blasts, listing distribution and search advertising. These new products are integrated into the listing creation process and are now available for purchase. To ensure customer satisfaction, all RealUp ecommerce products come with money back guarantees.

Realup.com could offer some “Opportunity is Knocking Profits” for smart investors as I reveal at the end of this article.

Our goal at RealUp has always been to shake up the commercial real estate listing market by offering free listings, free sales comps, and free demographics. We are now combining these free services with advanced exposure options integrated into the latest technology platform.

“There is no better place for RealUp to unveil our revolutionary business model than at TechCrunch Disrupt,” said Brian Randy Funk, President of RealUp. “Our goal at RealUp has always been to shake up the commercial real estate listing market by offering free listings, free sales comps, and free demographics. We are now combining these free services with advanced exposure options integrated into the latest technology platform.”

TechCrunch Disrupt is designed for innovators in new Internet-enabled industries such as the social web, mobile, real-time, gaming and virtual goods. RealUp will be exhibiting as part of the Startup Alley, which is open exclusively to companies founded within the last 2 years and with less than $2 million financing. Featured speakers at TechCrunch Disrupt include Tim Armstrong, CEO of AOL; Carol Bartz, CEO of Yahoo; Sarah Chubb, President of Conde Nast Digital; and Jack Dorsey, Co-founder of Twitter.

The new RealUp ecommerce options integrate technology from several other companies attending TechCrunch Disrupt. For instance, the new listing distribution option will export property information to Twitter, eBay, and Oodle. Additionally, the search advertising option automatically creates text ads on all major search engines, including Google, Microsoft Bing and Yahoo.

All listings in the RealUp property database now have the ability to upgrade to the enhanced exposure options. This totals over 275,000 commercial real estate listings including over $125 billion worth of property for sale and 950 million square feet of lease space. Since launching the website just one year ago, RealUp has partnered with some of the largest brokerages in the nation including Century 21 Commercial, Grubb & Ellis, Keller Williams Commercial, TCN Worldwide, Sperry Van Ness, and Coldwell Banker Commercial.

About RealUp
RealUp.com, LLC is a commercial real estate website offering free property listings and recent sales comparables. A subsidiary of TerraServer.com, the leader in online satellite photos, the company is based in Raleigh, NC and services the nationwide commercial market. RealUp is committed to providing real estate professionals with up-to-date listings, information and advertising options at the best value with guaranteed results.

Opportunity is knocking for smart investors

There are profits to be made for smart real estate investors who know how to find and finance commercial properties that are bank foreclosures, short sale prospects or are owned by other distressed sellers.

Shorten your learning curve and avoid costly mistakes with knowledge from seasoned investing pros. Take a look at these courses:

# Commercial Property Foreclosures The next real estate bubble starting to burst is commercial real estate. Learn how to buy commercial property short sales and pre-foreclosures for pennies on the dollar with 100% financing without good credit and without any real estate experiences or licenses needed.
#####

# Commercial Property Buildings Learn how to buy office, warehouse and retail buildings with no cash and no credit. Right now the most profitable units are retail stores, small office space and smaller industrial spaces like warehouses of 3,000 square feet and under.
#####

# Apartment Buildings Learn how to start making $24,000 per month (or more) in passive, cash flow, by investing in apartment buildings with no cash or credit within 90 days.
#####
Source: http://www.prweb.com/releases/2010/05/prweb4041414.htm

Technorati Tags: real estate, commercial real estate, rental property investing, commercial foreclosures