There are easily over 12,000 properties in various stages of foreclosures in Miami. This includes pre-foreclosure, default noticed, real estate foreclosures, auctions and so on. So whether your preference lies for homes on South Beach, at an orange orchard or simply for one of the most ethnically diverse urban settings in the country, Miami is likely to have a foreclosure property to suit you.
Foreclosures increased 35% in Miami from last year, largely due to mortgage defaults, which has meant a big jump in livable and affordable homes for many people. Obviously this is not good news for people on mortgages but there are plenty of instance in which those people bought a cheaper house in another locale that was as good, if not better, than the one they mortgaged.
Miami is not just famous for stars like Oprah Winfrey, Gloria Estefan, Lenny Kravitz and Anna Kournikova but also for its star-like living, beaches, retirement, oranges, and cigars and for its racial and ethnic diversity. The best place to find a great property, whether for residence or investment, is at a foreclosure auction. As with the rising number of foreclosure properties, the number of auctions has also increased to over 2,500 in this quarter from a year ago.
A bank, government or real estate auction is usually the best place to get a great deal on foreclosure properties, including pre-foreclosures, REOs and so forth. With on-the-day registration and a chance to go over the house before bidding on it, these auctions are normally a safe and easy way to get an affordable property in a previously out-of-bounds location. Dates and times for these in Miami can be found easily enough in newspaper classifieds or bank directories; a potentially very rewarding and fruitful search.
That is the case with many investors who want to build a rental portfolio or invest in real estate but there market is so crazy that a 2/1 shack is 200k or the taxes are so high getting a positive cash flow is just not happening. So what do you do?
The decision that must be made is that you are willing to achieve your goals even if you have to invest in another state.
There are states that are boring for most investors when the market is high but now many investors see the boring states alot more attractive because they don't have the losses as the fast growing states.
When everything collasped those states did not really fill the blunt force of huge depreciation in a short period of time.
So how do you invest out of state without taking a bath? Here are 7 tips to finding out of state or out or your local market properties.
1. Look for strong rent rates in an area. You want to find an area where most of the houses are investor owned. If Investors own the majority of homes there you know there is good cash flow in that market.
2. Look for areas that other out of state investors are already buying in. Google.com and Craigslist.com are the best ways to do this in my opinion.
3. As you find the areas, investigate the area to make sure it was not booming during the bubble. Make sure it is a boring market, so to speak. Meaning one that does don't blow up or down real high, one that just stays steady
4. Don't waste time trying to find the deals and talk to realtors. Just find the local wholesaler and you will find the best deals.
5. Just like on tv and all the spy shows, when the spy wants info they go to the man with all the connections. That is what you are doing when you find the local wholesaler. He will be the big dawg in the area and know all the contacts that you need.
6. Find out who the hard money lenders are in the area. Guess who they will be friends with, that's right the local wholesaler. By finding the money lenders you will find the best deal finder. They will be the one constantly finding great deals and bringing buyers who need to borrow their money. Easy-----just like a spy!
7. Contact the Wholesaler and let him lead you to all the other contacts you will need, like property managers. Working with the local wholesaler will save you time and money trying to find deals. They will have all the best deals any ways.
The work that the wholesaler does in order to find his deals is more than worth the few thousand dollars he or she will mark the property up.
Let them tell you who the best property mangers are and contractors and they will help you get properties---quality properties, faster so you can achieve your investing goals.
Then what? You ask.
Don't wait, Take action and start building your cash flow.
Both Joseph Smith & Jesse Davis are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Joseph Smith has sinced written about articles on various topics from Foreclosure Help, Real Estate and Foreclosure Help. Joseph Smith has been educating buyers on the finer points of purchase at FindForeclosurePrope. Joseph Smith's top article generates over 3350000 views. to your Favourites.
Jesse Davis has sinced written about articles on various topics from Investing and Trading, Travel and Leisure and Internet Marketing. About the author: Jesse Davis is an expert wholesaler in Jackson Mississippi. For get a free audio on. Jesse Davis's top article generates over 18100 views. to your Favourites.