WARNING: These Investing Deals Are Losing the Most Money in Today’s Market
Agent Investor Podcast - A podcast by Tom Cafarella - Real Estate Investor & Coach - Joi
A couple of years ago, virtually any real estate deal would fly off the shelf, and investors could easily walk into a profitable deal. Now, the economic environment has changed dramatically, and investing vehicles that used to guarantee a ton of money have come to a screeching halt. Now that the deals that were once profitable are now precarious, if we keep operating like before, we can find ourselves underwater at a time we should be preserving everything we have. So if many investing deals are seeing a big shake up, how do we survive? Which models should we stay far away from? In this episode, I’m talking about the harsh reality of today’s market, and how to avoid the least profitable real estate deals. In the last couple of years, buyers were overlooking funky homes. Now with more inventory to choose from and less motivation, they are a lot less jumpy to get on a deal. -Tom Cafarella Three Things You’ll Learn In This Episode Why we have to pivot away from what used to work wellIs the golden era of wholesale deals and tight margin flips squarely in the rearview mirror? The deals investors will have a hard time sellingWhy are long construction/renovations such a death knell for profitability in this market? The downstream effects of the affordability crisisWhy has buyer demand dropped so dramatically over the last few months?