Well, it’s that time of year again, when we look back to see how well we did, if we hit our chosen mark, and maybe take a moment and chart a new course for the coming year.
I must say, it’s been an interesting year. Changes kept coming, some good some not so good. Overall we are still headed in a better direction and it seems with more than just our heads above water. I’d say it’s hitting our shoulders now and pretty soon we should be swimming at full force with some broad strokes.
What will the real estate market look like in 2011?
And how can you position yourself to benefit from the New Normal?
You know, there will be millions made and lost in the next 12 months. The question is on what side of this equation will you find yourself?
Who knows where the real estate market will go? Not even the most knowledgeable, most well-educated economists, financial experts, politicians or real estate gurus have a clue. They’re all confused; as evidenced by the conflicting articles and reports that come out daily in the Wall Street Journal, MSNBC, and the rest of the media outlets (liberal and conservative alike) proving that wearing a $5,000 suit doesn’t necessarily mean that you know what you’re talking about. Even Jim Kramer, the Host of
For the past three years we all have been hearing this “new normal” term thrown around like a Frisbee. What exactly does this mean to you and me as investors? Well, for one, if you miss the value of clearly understanding that EVERYTHING in the real estate business has literally changed almost over night, then you’re setting yourself up to miss taking advantage of this “New World” opportunity.
Everything seems to be running along as usual, doesn’t it? Nothing could be further from the truth. No matter what anyone tells you, highly successful real estate investors know that there has always been and will always be only two tracks running simultaneously in business – the inside and the outside track. If you’re not on one, you’re without question riding on
First let’s deal with this past year and the GPS® (Goal Plan Systems) we had in place and how it has all changed.
As many of you know, I typically get most of my deals from Top REO Brokers and agents I’ve developed relationships with along the way. Now, don’t get me wrong. That does not mean I exclude anybody who calls me with a decent deal; I will look at anything and everything that comes across my desk.
But let’s face it — most of my deals come as a result of answering my cell or office phone and after a brief one-sided conversation (usually the REO agent giving me the details on a specific deal) I respond with a simple and quick thumbs up or down; that’s it!
Ok, so I am up in Smith River, Northern California fishing salmon a few months ago when my assistant Sabrina calls me and reminds me to be ready at 7 pm because she is going to be attending the Hudson & Marshall Auction in the Antelope Valley and there are a few properties that we decided we wanted to bid on. So that evening, she was at the auction and I was on my cell phone in Smith River, Northern California looking at the river.
Soon one of the properties I was interested in bidding on came up for auction we waited to see if anyone was going to bid besides us, and sure enough the bidding started. Within a matter of seconds the bid went from zero to $40,000.00.
Phew! Man, that was some year!
I’ve seen some close friends do very well financially this year. On the other hand, I’ve seen others hit hard times, the likes of which they never expected. And to be honest, I have to tell you that I haven’t been immune from the recent downturn. Without a doubt, I have taken some hits myself this past year. Luckily, they have been manageable. Thankfully, I have gotten myself back on track and have my new goals, plans and systems in place. I’ve begun to benefit from the present turbulent market changes. 2009 will undoubtedly be the most challenging and exciting business year that I will ever live through.
I expect that it will be filled with unknown and unexpected challenges and opportunities that I’ve