Land of Opportunity

We still can’t be sure who will win the upcoming election not to mention what will happen with Obama and Clinton.  At the end of the day, who will be the real winner?  We hope to say that the US Dollar will come out on top!

Many economists are predicting a positive upward bounce for the dollar (post-election) which will be great for the United States and our global economy.  It also means that real estate investments and condo investments may have a short-lived window of opportunity…for the buyer.  The Fed will be lowering rates AGAIN and the real estate bargains and distressed real estate opportunities may not last at the low current low prices.  I personally think there will be great condo investments throughout the rest of 2008 and that we are not quite at the “bottom” yet. 

From the perspective of international condo buyers and investors, the idea of buying up distressed real estate and foreclosed homes and condos might seem a bit harsh.  On the other hand, it is safe to say that throughout this year, foreign investors will not find better deals on condos and homes for years to come, if ever again.  The combination of the housing recession and the weak dollar give foreign buyers and condo investors the perfect opportunity to strike.  It is important for foreign investors to keep a close watch on the US housing market trends and communicate regularly with local agents to find the best deals.

It is not unusual to find investment condos all over the country for $100,000 to $300,000 off the market price.  Builders still need to move this inventory and are willing to work with buyers to get these condos and homes sold. 

The Mississippi Coast and Gulf Coast of Alabama are areas quickly becoming known around the world for having some of the best investment opportunities.   Now designated as the post-Katrina Gulf Opportunity Zone or GO-Zone for short – there are literally hundreds of investment condos and homes being aggressively marketed to investors and buyers.  The Go Zone offers great  tax incentives to buyers and investors which only adds to the benefits already given by lower home prices and rates.

We are all frustrated by the current market conditions and hopefully we are all planning for the near-term and long-term future in order to come out of this in a positive light.  The fact remains that even real estate developers are getting into the distressed real estate game and buying investment condos.  Major builders have even started multi-billion dollar funds to buy condos and real estate in bulk…some of it being their own product no doubt.  As odd as this seems, any opportunist will take advantage when the opportunity arises.  I feel we are just entering this new land of opportunity and that we will see more ways to make money in this market for months to come.