Author Topic: Purchasing properties in 2017?  (Read 1057 times)

sonnys

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Purchasing properties in 2017?
« on: January 04, 2017, 07:41:54 PM »
Hey everyone,

I am a new RE investor and wanted to get a sense of how everyone feels about investing in 2017 with the expectation that the Fed will gently raise the rates and also the change in Washington D.C.  I am interested in a property which will have positive cash flow but am nervous about getting more leveraged.  We have had a few good years in the economy and I am worried if we could fall into a recession if the Fed starts raising rates or because of some trade disputes.  Thoughts?
 
Thanks,
Sonny

Kroaler

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Re: Purchasing properties in 2017?
« Reply #1 on: January 12, 2017, 11:35:34 AM »
Are you worried that rising interest rates will cause the market value of homes to fall and that you will be upside down?

Or are you worried that if you wait too long, homes will be cheap but interest rates high making your monthly payment the same? 

Or neither?   I worry about both of the above, but I dont want to let fear hold me back.


I want to acquire 1-2 houses this year. I feel the market is over priced and could collapse at any moment. Without a magic ball to tell me the future the best I can do is make sure I buy houses that represent good value.

They need to be under market so I have instant equity and they need to cash flow appropriately.

The most important thing (to me) to protect myself from uncertain markets is to pass on all mediocre deals and be patient.