Jeff Brown, aka the BawldGuy, wrote a great little article the other day relating real estate to tornados - Tornados Are Local - So Are Down Real Estate Markets - Profit From It.

No matter where twisters show up, weak or strong, they’re local in nature. There are no exceptions, nor have there ever been. Real estate behaves similarly.
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Is the current economic crisis like a tornado? In terms of real estate and lending it sure is. Would I tell ya to invest in real estate located in hard hit regions like San Diego? Perish the thought. But this economic tornado hasn’t and won’t touch down over the entire country.

Bay Area real estate, and the East Bay in particular, is no different. Some areas have definitely been hit harder than others, but we have areas where investors are generating positive cash flow today on properties that are in prime locations to reap the benefits of appreciation down the road.

Now, this obviously isn’t going to be the right time for everyone to make a move into real estate. But, for some, this unfortunate national situation has created a great opportunity for them to profit from. Which group are you in?

Negotiations … give and take … making concessions - these are things we do, in one aspect or another, nearly every single day of our lives. Yet, as the stakes become larger, most people lose confidence in their own skills. Buying or selling a home definitely falls into that “large stake” category, and that is where a Realtor is able to separate himself/herself from their competition. A good negotiator has the potential to save or make you thousands of dollars on your real estate transaction. They can create a very positive, win-win atmosphere that helps facilitate a smooth and (relatively) stressfree transaction. So, just like with all the other aspects of real estate, even though you may not be an expert, you owe it to yourself to at least understand the basics … read through How to Win the Negotiation … Without Being a Jerk. When you are done, let me know what you think…

If you have been following some of my previous articles, you are well aware of the importance I place on interest rates when evaluating deals. In many cases, the interest rate is far more important than the actual purchase price of the property. Because of this, I have not been surprised at the sudden influx of calls that I have been receiving this past week. With the government’s recent takeover of Fannie Mae and Freddie Mac, interest rates have been dropping sharply. In fact, according to an MSNBC article, after bailout, mortgage rates hit five-month low! If you have been on the fence about buying a property, give me a call - now just might be the right time for you to make a move.