Sullivan Multi Open House

Thanks to everyone who made it out to our "office warming party". It was great to see everyone. With days getting shorter and hectic schedules, it meant a lot to have folks take time out of their day and come check out our new digs. For those who didn't attend, you missed out on some great conversation and more importantly, free beer!

Lessons for Buyers

Everywhere you turn you hear the talk about foreclosures and the failing mortgage market. We have certainly seen the effects here is this office, but not neccesarily in the ways you would expect. Prices have definitely made an adjustment downward, which can be good or bad, depending on which side of the table you are sitting. But business hasn't ground to a halt as some outlets would lead you to believe. Instead we are seeing more "creative financing" if you will, and more people being able to jump on opportunites that just weren't there before. Last month Chris talked about a property that sold as a bond for deed, and since that post we have completed another. Our current contracts include three short sales, and our closings in the last few months have included several seller financed properties. So the story right now seems to be the following:

1) Now is a good time to buy but you will probably need some cash in your pocket to do it. Gone are the days when anyone with a pulse could buy property, but there are loans out there and people are starting to come down on their prices.

2) There are financing options out there if you don't have much cash. Seller financing can be a really good option for both buyer and seller. Short sales can be long projects without guarantee, but can be a good investment if you have the patience and time. Bond for deed gets you instant equity if you find the right property and can get the seller to bite, though it is a riskier option to both parties.

3) If you are handy, this is a great time to buy. There are fixer-uppers coming onto the market regularly and with prices moving south you can make the sweat equity work if you aren't afraid to dive into the project yourself.

4) Make a low offer if you have the comps to justify the price. In some cases properties are going for significantly less than they are listed for simply because that is where the value is shifting and the evidence is there to prove it. You won't always make it work, but you have a much better shot than you did a year or two ago.

Market Activity Picking Up

After a tediously slow July and August, the multi-unit market in the Greater Portland area finally seems to be picking up. In the last two weeks alone, 18 units have gone under contract. The Sullivan Multi Team put four units under last week alone and are activly negotiating several more contracts. We'll keep you posted as these deals continue to come together.