Thread: Pyriel Real Estate Corner

Originally Posted by pyriel

To tell you the truth, in many occasions, I had to explain to them how to read a financial statement.

As part of my job I have to review the financial statements of private companies. It is amazing to me how many companies don't know that Balance Sheets have to balance!

If you have something, you either owe money for it or you own it outright. Hello-o-o! Assets = Liabilities + Owner's Equity. How hard is that? Makes me nuts!

Of course, driving me nuts is a short trip!

Lady

Originally Posted by XL-entLady

As part of my job I have to review the financial statements of private companies. It is amazing to me how many companies don't know that Balance Sheets have to balance!

If you have something, you either owe money for it or you own it outright. Hello-o-o! Assets = Liabilities + Owner's Equity. How hard is that? Makes me nuts!

Of course, driving me nuts is a short trip!

Lady

Maybe thats why businesses fail at such a alarming rate in this country.
1+1=2 doesn't count anymore (pun unintended). A+B=C leaves one to
find the value of A&B, A&C, B&C. Damn that new math is tough. Ooops,
I sound like my parents. I think I'll stay in my Gov't job, alls I have to do
is count inmates. What comes after 1215, damn ! Where's my calculator
when I need it !

Glad to be out of Afghanistan back with my family. The market sunk while I was gone and if I had stuck with my strategy (100% stock Nov-April/100% G Fund May-October) I would have been ok. Too bad I didn't have the connectivity at the place where I was deployed. But that is ok... What comes down will also go up (slowly;-)

It seemed like the housing market is on sale bonanza... I wonder how many of our members plan on purchasing properties next year? I'm sure lots of them have questions whether they should buy or not. As for me, i'm in a holding pattern. I'm waiting on what Obama will do about this economy. My plan is to stay put for 09 and save as much as I can for future real estate investment. No need to hurry now since we should have 2-3 years of cheap housing market being available.

I was fortunate enough that my wife was able to take care of our rental properties while I was gone. She did a great job keeping all units to occupied. The Marines transfer to Guam from Japan has been pushed back for a couple of years so Guam is also starting to see overbuilding and it is becoming to be a renter's market. Till the Marines start arriving, things will be a little tight.

There are lots of options to implement to ensure all units are fully rented. Incentives that takes away profit are necessary evils to attract tenants. The alternative could be devastating if proper planning is not implemented (just look at what is happening around the country now). I continue to look at section 8 as a viable pool of tenants. However, I am seeing that the market demand is for 4-5 bedrooms rental units. 2 bedroom units just like my 8 unit apartment is seeing a longer turnover than the single housing units that I have (tenants stay longer too). So, some of my options are to turn the 3 bedroom single residential units into 4-5 bedroom units which could command higher price in the section 8 market and/or renovate the 8 unit apartment and turn it into a 4 unit 4-5 bedroom units. All these options, required initial funding and with the uncertainty of the market, a wait and see attitude is the best strategy I could come up with.

Appraisal value is also another avenue that is worth looking into. It seemed that values of my properties are in an all time high and it might be a good idea to reconsolidate and refinance. I haven't seen the numbers yet, but if I decide to do it, I definitely will not be getting extra cash and use them for something else.

Working with real estate is different from each place and from each individual. My wife and I are fortunate to have government jobs that allows us to take over payment of all rental properties even if they all become vacant for some unknown reasons. Not everyone has this kind of luxury and this is why we are seeing lots of foreclosures all over the US. People are just prepared for the worst case scenario.

I do hope that everyone continues to be proactive with their investments. Always be careful and always be safe. Continue to come and participate with this site. Continue to help us help each other.... TY

Pyriel

pyriel/MB
a mortgage broker told me that interest rates could hit 3-3.5% within the next 90 days, have u seen any indications to justify those numbers ??? i'm looking to refinance and combine if I can 2 home loans.

thanks
guchi

PYRIEL/MB
does anyone know which bank is better to deal with refi on a rental prop. ????? my bank is willing to give me a 4.3% refi on my rental, but i don't want to bite the first rate I get.
thanks

guchi

Guchi: What part of the country are you in? I just got a 4.875 quote on my principal residence at a 45% LTV. Typically, interest on NOO (Non Owner Occupied) property is higher. I live in CA.

el

i'm in N.C. i just talked 2 my bank today and set up an appt. for fri. to go over the numbers. this is with the bank i deal with.

Folks,
Wondering if anyone can help with this - I'm seeking a reputable source, on a news-story, that I'm almost sure I heard on Bloomberg TV yesterday at about ~5:00 pm. Sorry, but I only caught this on the TV, as I was doing other work.

What I heard was that traders yesterday, started buying extraordinary numbers of puts - I think related to Real Estate/Housing. Anyone hear this also?
I listened carefully afterwards, but did not hear any more on this, or know where to look to confirm this.

I also think I heard that this could affect, in particular, the days surrounding the May OPEX - and that there is an expectation that Housing could drop another 20% by end of May!

Obviously, if I heard this wrong, I do not want to spread/create a rumor. But if correct, it could be significant.
Hoping anyone can assist on finding truth, via options put/call data on this, any way to to confirm/or to deny!
Apologise, but last thing I'd want to do is to pass/spread untrue rumor!
VR

I found one article on Real Estate, that might be some small confirmation...
http://www.bloomberg.com/apps/news?p...uHk&refer=home
Still seeking someone with real option-trading experience to confirm/deny the options "news" re: chart showing if there was "extrordinary "put" buying on Friday! Could it just have been a "big-boys" news-ploy?

Originally Posted by hessian

Folks,
Wondering if anyone can help with this - I'm seeking a reputable source, on a news-story, that I'm almost sure I heard on Bloomberg TV yesterday at about ~5:00 pm. Sorry, but I only caught this on the TV, as I was doing other work.

What I heard was that traders yesterday, started buying extraordinary numbers of puts - I think related to Real Estate/Housing. Anyone hear this also?
I listened carefully afterwards, but did not hear any more on this, or know where to look to confirm this.

I also think I heard that this could affect, in particular, the days surrounding the May OPEX - and that there is an expectation that Housing could drop another 20% by end of May!

Obviously, if I heard this wrong, I do not want to spread/create a rumor. But if correct, it could be significant.
Hoping anyone can assist on finding truth, via options put/call data on this, any way to to confirm/or to deny!
Apologise, but last thing I'd want to do is to pass/spread untrue rumor!
VR