Monday, October 23, 2006

USA TODAY: life of a Flipper












Real estate: Calif. flipper a case study in how boom went bust

Mistake No. 1

Using 'liar loans'


Mistake No. 2

Overpaying


Mistake No. 3

Lacking cash


Mistake No. 4

Quitting your day job


Mistake No. 5

Hiring an unlicensed contractor


Mistake No. 6

Buying sight-unseen



Mistake No. 7

Buying out of state


Mistake No. 8

Buying too many properties too fast



Mistake No. 9

Underestimating remodeling costs


Mistake No. 10

Having a poor exit strategy


Serin's current situation is bleak. He is currently unemployed as is his wife, who has gone back to college to get an accounting degree. They rent an apartment and have $140,000 in debt, and the remaining five houses he owns are facing foreclosure.


USA TODAY: Front page of Money section

1 Comments:

Blogger vfsv said...

Here in Silicon Valley, Santa Clara County y-o-y volume was negative for the 22nd straight month (since December, 2004) and 25th out of the last 26 months.

For more data, please visit:
http://www.viewfromsiliconvalley.com/id273.html

We also track housing permits issued at:
http://www.viewfromsiliconvalley.com/id66.html

In the last 12 months, new permits issued represent a 4.3-month supply, regardless of other houses for sale. Since the "bottom" in late-2002, total permits issued represent a 16.6-month supply.

During that same time, jobs & population are essentially flat.

For more Silicon Valley-related news, please visit:
www.viewfromsiliconvalley.com

Thanks!

9:38 PM  

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