Training for Book Authors
|
|
Other Resources for Book Authors & Publishers
|
|
Please Support Our Advertisers
|
|
|
|
|
Back To The Future... Get Ready Now, Changes Are Coming
Copyright (c) 2007-2023 Donna Robinson
The comments below are quoted from a recent speech by Ben Bernanke, the chairman of the Federal Reserve Board of Governors...
"Looking forward, I am sure that the Committee will continue to watch the oil situation carefully. However, future monetary-policy choices will not be closely linked to the behavior of oil prices per se. Rather, they will depend on what the incoming data, taken as a whole, say about prospects for inflation and the strength of the expansion. Generally, I expect those data to suggest that the removal of policy accommodation can proceed at a 'measured' pace. However, as always, the actual course of policy will depend on the evidence, including, of course, what we learn about how oil prices are affecting the economy."
In short, the Federal Reserve knows that there will be an impact. But no one knows how big and how fast. During the oil embargo of the 1970's gasoline prices doubled several times over a matter of months. The effect was dramatic and sudden. It was difficult to adjust, because things were happening so fast.
This time around, it appears that the price climb will be gradual and steady, thus allowing the Federal Reserve and the government to make adjustments as they go, by examining economic data on a monthly basis. At least that is what they are hoping for. They know that the economic climate is changing, but they are hoping that it will be slow enough to control.
This week as I contemplated my own reaction to the changing economic environment, I felt compelled to encourage you to give some serious consideration to your personal economic circumstances. If you have a large percentage of debt relative to your in- come, you should take steps now to eliminate as much of it as possible. Prepare your- self so that you will be protected against unexpected economic upheaval.
Being debt free, or having a very low debt to income ratio is the best way to protect yourself in an unpredictable and volatile world. As we learned on September 11, 2001 things can change dramatically in only a few hours. If you put it off, you may not have enough time to get it done. The average person needs 4 to 5 years to pay off their outstanding personal debt, not counting their home. In today's world, it will pay to get started now. I have made it my primary objective to pay off my personal debt over the next year or two.
That being said, the interesting thing about real estate investing is that even bad economic conditions tend to have a silver lining. There is a cause and effect relationship at work in any given economy, whether it is considered a "bad" or "good" economy.
In good times, such as we've had the past 8 years, retailing or flipping for cash was the hot ticket, due to high demand for housing and the ability to sell properties quickly. In recessionary times, higher interest rates and lower housing sales fuel more seller financing, and rental properties flourish. Of course there are always exceptions to the rule, but generally speaking this is the case.
As interest rates got lower, rates of return for traditional investment vehicles went lower and lower. The result? More and more money poured into real estate lending. Hard money and other types of conventional real estate financing programs expanded drastically, making millions of dollars in new funds available for real estate invest- ors.
As housing sales reached record levels, home sellers began seeing a boom in housing prices. It has truly been a sellers market since rates fell below 7%. What happened to investment property? During the past 5 years of an investing bonanza in Atlanta, GA, prices for investment properties have doubled and even tripled. 3 bedroom 1 bath houses were selling in 1999 for as little as $25,000, even in liveable condition. Today, that same type house regularly sells for $75,000 (or more) before repairs.
Going Forward:
Rising interest rates and/or over supply will have a positive effect for investors, by slowing housing sales even further. As sellers get fewer solid offers property prices will get softer. Rising rates could fuel more short selling of foreclosed properties, and this trend is developing now.
Foreclosures may eventually get to levels not seen since the late 1980's, due to high levels of mortgage debt among homeowners, who in many cases, have mortgaged all of their equity to pay other bills.
If rates get above 8%, you can dust off your creative financing books, as seller financing will increase. Rising rates mean rising monthly payments. This will eliminate the borderline buyers from the housing market. They will start moving back into apartments and rental houses. Vacancies will decline, rental rates will increase.
If rental rates increase, cash flows will increase. Rental property will be back in style with investors who abandoned rentals and focused on selling for fast cash in a hot market. Companies that sell investment property can expect growing demand for rental grade properties. While it is still very early in the cycle, I believe this shift is already under way.
Economic recessions are boom times for smart investors who are positioned to take advantage of the situation. I am not predicting a recession per se' but rising oil prices high foreclosures, and an over supply of houses may eventually have a big effect on prices.
Be ready to take advantage when the opportunity comes.***
Donna Robinson is a real estate agent, market analyst and the Training Director for The Real Estate Arena. This article is one example of the quality information you will receive when you join TREA. For more information go to http://www.therealestatearena.com/ad.aspx?i=rtcl
|
VOTE ON THIS ARTICLE
Needs Work >>
0 -
1 -
2 -
3 -
4 -
5
<< Excellent Article
Tell our authors what you think about their article.
|
Top-Level Category: Society Articles || Related Categories: Real Estate Articles and Shopping Articles
10 Most Recent Articles Written by Donna Robinson
How To Pick An Investing Strategy That Will Work
Written by: Donna Robinson |
Distributed: 2007-03-21 |
Word Count: 933 |
Page Views: 3617
| Votes: 7 |
Rating: 2.43
I often get email from investors asking me how they can tell
which real estate investing strategy is ideal for their market.
From the perspective of a new investor it can often be difficult
to decide what particular strategy you should use in a given
area.
Is There A Perfect Storm Brewing For Single Family?
Written by: Donna Robinson |
Distributed: 2007-03-19 |
Word Count: 921 |
Page Views: 4013
| Votes: 14 |
Rating: 2.07
A glut of new construction combined with higher than normal
resale inventory, plus a sharp increase in foreclosures is
leading to massive oversupplies of single family housing in most
areas of the country.
Check The Appraisal Carefully To Avoid Being A Fraud Victim
Written by: Donna Robinson |
Distributed: 2007-03-15 |
Word Count: 893 |
Page Views: 3682
| Votes: 7 |
Rating: 2.14
There is a type of fraud in which an unsuspecting Real Estate
investor believes he is buying a property worth a certain amount,
when in reality the property is worth much less. This places the
investor in a hopelessly upside down situation, owing more money
than the property will ever be worth.
Buying Your First Investment Property
Written by: Donna Robinson |
Distributed: 2007-03-13 |
Word Count: 812 |
Page Views: 3737
| Votes: 12 |
Rating: 1.92
Most new investors understand that real estate is an investment
vehicle that makes sense. We all know that many fortunes have
been built with real estate. But when you are first getting
started, all the available information can be very confusing.
Are You Suffering From Anemic Profitosis?
Written by: Donna Robinson |
Distributed: 2007-03-09 |
Word Count: 794 |
Page Views: 4265
| Votes: 8 |
Rating: 2.38
Is your investment income looking a bit pale and fatigued? Do you
become nauseated at the site of your profit and loss statement?
Are you itching to sell properties that are losing money? Chances
are you're suffering from a lingering case of anemic profitosis.
Flipping, Retailing, Leasing, Options, Short Sales? Confused By All The Strategies Out There? I Was Too!
Written by: Donna Robinson |
Distributed: 2007-03-02 |
Word Count: 1011 |
Page Views: 4757
| Votes: 16 |
Rating: 2.63
Many programs, seminars and boot camps on real estate teach a
specific step-by-step strategy in an attempt to help newbie's
learn how to become a real estate investor. I have taken such
strategy based classes, and have taught them too.
3 Classic No Down Payment Strategies
Written by: Donna Robinson |
Distributed: 2007-03-02 |
Word Count: 1114 |
Page Views: 4696
| Votes: 8 |
Rating: 1.63
Everyone has heard a story or read about someone who bought a
property without paying a single dime as a down payment. But how
does this work? There are several * classic * methods commonly
used to purchase real estate with no money down. There are an
infinite variety of situations in a real estate transaction that
could lead to a deal with no down payment. But for the sake of
reality, I will focus on those that are most commonly seen in the
current market.
All of Author's Articles on this site: Donna Robinson Articles
Most Recent "Society" Articles
When Commitment Seems A Bit Too Much Trouble
Written by: Lance Metzger |
Distributed: 2013-11-05 |
Word Count: 986 |
Page Views: 7369
| Votes: 21 |
Rating: 1.67
The nuclear family (man and wife, plus 2.2 kids) is a
fantasy that some people want to chase, and while there is
nothing wrong with that, it is not the right relationship
dynamic for some people.
The Online Dating Double Standard: How Fear Can Prevent Dating Success
Written by: Lance Metzger |
Distributed: 2013-10-23 |
Word Count: 958 |
Page Views: 8078
| Votes: 17 |
Rating: 1.94
Many people go online in search of their elusive soul mate, only
to find all of the wrong people on the other end of the meeting.
Many women think that they are alone in this outcome, but it
happens to guys too.
Online Dating Is A Difficult Process That Offers Some Rewards
Written by: Lance Metzger |
Distributed: 2013-10-17 |
Word Count: 834 |
Page Views: 7569
| Votes: 20 |
Rating: 1.95
Online dating can be rewarding to those who have the patience and
the knowledge of what to expect during the process. This article
explains the common process experienced by most internet dating
website users.
How Dating Has Changed In The 21st Century
Written by: Lance Metzger |
Distributed: 2013-10-15 |
Word Count: 974 |
Page Views: 14584
| Votes: 20 |
Rating: 1.70
With an article title like this, one might assume that I am ready
to tell you some extraordinary news about a new dating
environment. Sure, the Internet has introduced one more way for
people to meet, but does that actually change the dating scene?
Jesus, Son of God and Son of Man
Written by: Arthur Trafford |
Distributed: 2011-12-12 |
Word Count: 991 |
Page Views: 456
In 1st John 5:5 we are told that “Jesus is the Son of God”. What
motivated Jesus to refer to Himself as “Son of man”?
3 Tips For Building Relationships That Last
Written by: Clarence Lee |
Distributed: 2011-07-21 |
Word Count: 754 |
Page Views: 5164
| Votes: 5 |
Rating: 1.40
You know, to hear people talk about the difficulties of the
dating process, you would think it is impossible for two
people to come together in a mutually beneficial
relationship... But the problems of any relationship can be
narrowed down to three very important and relevant words...
The Drama of the Dating Game
Written by: Clarence Lee |
Distributed: 2011-07-20 |
Word Count: 620 |
Page Views: 5402
| Votes: 3 |
Rating: 0.33
Dating is tough. You spend time getting to know someone and
deciding whether the two of you are compatible. Then you
work your way up to the big question, "Will you go out with
me?" Then you sweat the answer... Will he/she say yes?
3 Courses of Action For an Unhappy Relationship
Written by: Tony G. Mann |
Distributed: 2010-04-20 |
Word Count: 354 |
Page Views: 4708
| Votes: 2 |
Rating: 0.50
The reality is that if you are actively dating, you're
going to probably end up in an unhappy relationship
eventually. For some people, they may have to go through
several bad relationships before finding the right one. If
you are facing an unhappy relationship, then there are three
courses of action you can take:
Relationship Questions: What Men Want and What Women Need
Written by: Bob Grant |
Distributed: 2010-03-15 |
Word Count: 737 |
Page Views: 8678
| Votes: 14 |
Rating: 2.79
What men want is to be trusted and what women want is to
trust them. A fundamental, physical difference in the sexes
lies at the heart of these core relationship questions. By
simply doing what they say they will do, men have the power
to create stronger, better relationships.
Cheap Tattoos Cheapen The Tattooing Experience
Written by: Bree Levine |
Distributed: 2010-03-04 |
Word Count: 603 |
Page Views: 4523
| Votes: 4 |
Rating: 0.25
Many of my girlfriends have "girl nights" around getting
tattoos, as if it were as casual as getting a haircut or a
manicure. The casual attitude toward tattoos bothers me for
two reasons; there is the age old argument that tattoos are
permanent and not a decision to make lightly. The other
argument I have against tattoos is that getting a tattoo on
a whim significantly cheapens the tattoos that others have
for cultural reasons or to commemorate a major life event.
Most Viewed "Society" Articles
Creative Flower Card Messages Worthy Of Harry Potter Author J.K. Rowling
Written by: Wesley Berry, AAF |
Distributed: 2008-01-30 |
Word Count: 512 |
Page Views: 50538
| Votes: 19 |
Rating: 1.47
As much as we might like to be, we're not all talented writers
like the best-selling author of the Harry Potter books series,
J.K. Rowling. Those of us who aren't skilled writers (and
probably some who are!) sometimes struggle with finding the right
words to say.
Las Vegas Weddings: Pros and Cons of Getting Married in Las Vegas
Written by: Sharmila Pundit |
Distributed: 2006-09-01 |
Word Count: 487 |
Page Views: 30485
| Votes: 16 |
Rating: 2.25
For some people a Vegas wedding is an original and romantic thing
to do and for some it is a sleazy way to tie the knot. Is getting
married in Las Vegas a good idea? Read all about it and decide
for yourself.
How to Play Santa Claus for Children--A Short Guide
Written by: Victoria McCraw |
Distributed: 2006-11-14 |
Word Count: 419 |
Page Views: 25216
| Votes: 138 |
Rating: 2.36
Playing Santa Claus for children, whether as a semi professional
shopping mall Santa, a charity Santa who works to cheer up less
fortunate children, or even as the resident Santa at social and
family gatherings, is a heartwarming and important job. Nothing
can quite compare with the smile on a child's face when he or
she discovers that Santa is in the room.
Petit Larceny: Not Always Petty
Written by: Warren Redlich |
Distributed: 2008-10-02 |
Word Count: 749 |
Page Views: 23996
| Votes: 38 |
Rating: 3.26
Petit Larceny, sometimes referred to as Petty Larceny, is defined
in New York State as a theft of property valued at less than
$1000. In contrast, Grand Larceny is a theft of property at least
$1000 in value.
Single? Here's the Ultimate Date Idea
Written by: Jason OConnor |
Distributed: 2006-05-19 |
Word Count: 1194 |
Page Views: 22955
| Votes: 8 |
Rating: 1.88
If you're a regular guy, the kind who loves sports and hates the
opera for instance, then here's an awesome date idea I bet you've
never really considered before: taking a woman to a Broadway
production, even if you don't live in New York City. You can
find professional Broadway productions in most major North
American cities.
How to Contact Your Ex When They Continue to Ignore You
Written by: James Kern |
Distributed: 2009-07-28 |
Word Count: 752 |
Page Views: 17547
| Votes: 36 |
Rating: 2.17
She just wont return your calls, or give you the time of day
and listen. You're smitten. You want nothing more than to
talk with this woman and tell her how you're feeling, but
you keep getting bumped to voicemail. Your texts vanish into
a void and are never returned. Your emails go unread.
What's a guy to do?
Attract Beautiful, Sexy Women With Bad Boy Attitude But A Nice Guy Style
Written by: Ken Oboh |
Distributed: 2006-06-06 |
Word Count: 589 |
Page Views: 15598
| Votes: 80 |
Rating: 1.65
The bad boy naturally attracts and seduces women...but you can
just as easily succeed with women as a nice guy by applying
the same secret techniques.
How Dating Has Changed In The 21st Century
Written by: Lance Metzger |
Distributed: 2013-10-15 |
Word Count: 974 |
Page Views: 14584
| Votes: 20 |
Rating: 1.70
With an article title like this, one might assume that I am ready
to tell you some extraordinary news about a new dating
environment. Sure, the Internet has introduced one more way for
people to meet, but does that actually change the dating scene?
Feet, Personality Theory, Dating and Relationships
Written by: Mr L.Rx |
Distributed: 2007-08-29 |
Word Count: 2583 |
Page Views: 14543
| Votes: 55 |
Rating: 3.16
In this article Mr. L. Rx describes an 80-90 percent correlation
between personality type and the angle between ones feet, and
tells how it can be applied to dating and relating.
The Top Half Dozen Gas-Saving Myths In Automobile Driving Today
Written by: Benji O. Anosike |
Distributed: 2008-02-25 |
Word Count: 3092 |
Page Views: 9285
| Votes: 29 |
Rating: 3.07
In this article, we shall expose some of the major myths about
automotive fuel economy, and we will dispel those myths at the
same time. Read on as this is interesting stuff.
Highest Ranked "Society" Articles
Would You Like To Know How To Pick Up Women In Bars And Clubs?
Written by: Mr L.Rx |
Distributed: 2007-03-23 |
Word Count: 885 |
Page Views: 6764
| Votes: 40 |
Rating: 3.35
The first technique is explained in this first article of a three
part series describing techniques that you can use to pick up
women in bars and clubs.
Petit Larceny: Not Always Petty
Written by: Warren Redlich |
Distributed: 2008-10-02 |
Word Count: 749 |
Page Views: 23996
| Votes: 38 |
Rating: 3.26
Petit Larceny, sometimes referred to as Petty Larceny, is defined
in New York State as a theft of property valued at less than
$1000. In contrast, Grand Larceny is a theft of property at least
$1000 in value.
ABCs Desperate Housewives and the Suddenly Famous Pink Blanket
Written by: Scott Corbett |
Distributed: 2006-05-25 |
Word Count: 580 |
Page Views: 5378
| Votes: 9 |
Rating: 3.22
Ever since Cary Grant rattled the men's t-shirt industry by
famously appearing without one and causing a decline in retail
sales of undershirts, television and movie stars have been
changing the tastes of the American consumer.
Feet, Personality Theory, Dating and Relationships
Written by: Mr L.Rx |
Distributed: 2007-08-29 |
Word Count: 2583 |
Page Views: 14543
| Votes: 55 |
Rating: 3.16
In this article Mr. L. Rx describes an 80-90 percent correlation
between personality type and the angle between ones feet, and
tells how it can be applied to dating and relating.
The Top Half Dozen Gas-Saving Myths In Automobile Driving Today
Written by: Benji O. Anosike |
Distributed: 2008-02-25 |
Word Count: 3092 |
Page Views: 9285
| Votes: 29 |
Rating: 3.07
In this article, we shall expose some of the major myths about
automotive fuel economy, and we will dispel those myths at the
same time. Read on as this is interesting stuff.
Embracing the Recession
Written by: Heather Villa, CMA, MBA, MSM |
Distributed: 2008-11-25 |
Word Count: 682 |
Page Views: 4006
| Votes: 7 |
Rating: 3.00
We live in uncertain economic times. Every time we turn on the
news we hear of another company that is going under or another
company that is laying off thousands of its workforce or another
company that has had to respond to a lack of shareholder
confidence with kneejerk reactions. People just don't want to
watch the news anymore!
Dating Your Girlfriend's Best Friend
Written by: Kathy Stafford |
Distributed: 2007-09-28 |
Word Count: 685 |
Page Views: 8727
| Votes: 25 |
Rating: 2.96
Explore your options if you're considering dating a friend of
your girlfriend's. Offers tips on how to proceed in this
delicate situation and what traps to avoid.
Baby Boomers - A Healthcare Crisis Nears
Written by: Heath Atchison |
Distributed: 2006-07-25 |
Word Count: 1120 |
Page Views: 6884
| Votes: 12 |
Rating: 2.92
Baby boomers are quickly approaching retirement age, and as they
do, there are a number of concerns that need to be addressed,
particularly in the area of healthcare. Unfortunately, there
appears to be no easy answers to the healthcare problems that
baby boomers, and the population in general, will face in the
very near future.
The Argument Women Can't Win
Written by: Bob Grant |
Distributed: 2006-09-12 |
Word Count: 501 |
Page Views: 6851
| Votes: 18 |
Rating: 2.83
When it comes to fighting and disagreeing with a man in a
relationship, women frequently make a critical mistake which ends
up causing them to feel hurt and lonely. Here is the scenario
that typically happens.
How to Save Money on Your Wedding - Even During a Down Economy
Written by: Sarah Simmons |
Distributed: 2009-07-14 |
Word Count: 532 |
Page Views: 4127
| Votes: 16 |
Rating: 2.81
Weddings are expensive to plan at anytime, but during the current
economy, it can seem downright impossible to pull off the perfect
wedding. But have no fear brides, for there ARE ways to have your
dream wedding without breaking the bank.
|
|
|
|
|
Article Reprint Rights
|

This work is licensed under a
Creative Commons License
You are not required to show the creative commons license notice when you reprint this work.
|
Article Statistics
|
Word Count: 913
Total Views: 3897
Article Rating: 1.30 of 5
Votes Cast: 10
More Articles By Author:
Articles On This Website
Last Distribution Date:
2007-03-08 10:36:00
Internal ID: #4495
|
|
|