Hold on to your seats. It's going to hurt!

[JohnM-FL]

A few of us put out a warning late last year regarding the situation we are experiencing now and what will come in the next 6 months. Myself and a few others on this forum went through 2010. Real Estate has always depended on financing. If the terms are in sync with prudent investing the market moves forward.
If not the market stalls. Inflation - it can help investments, giving a higher return. Or it can depreciate. If you buy at the wrong time! Thats what is going to happen now. I’m in South Fla. Prices are and have been 30% over priced.
I’ve been pointing my finger at the administration being the progenitor as they have spent trillions on borrowed money, but I just read that 1/2 of home sales in the past year have been INVESTORS. Amazing. Seeing the price escalation in homes, they jumped on the bandwagon. Top and bottom fueled the inflation we are living in now. So who suffers — the middle class, who have no hope of stopping the government spending and had no money to invest.

I feel sorry for the investors who cashed in their IRA’s to buy a house…they think their investment will escalate, when the adjustment of the 30% overvalued prices comes about they are holding the bag.
Take a $300,000 home sale. When the a 30% drop comes their down payment and costs they paid is GONE. Foreclosures will be the next item to come about.

If you doubt what I have written, just go back to 2010 and exam the market.
It happened before and we are seeing it happen today.

Thanks for lending an ear.

[armstrc]

@JohnM-FL

Foreclosures will be the next item to come about.

Do they need notaries more during the foreclosure period?

[salliemaesioux]

Investors CASHED IN THEIR IRAs to purchase at the top of the market? Oy, vey!

[ewing_joe]

Yes and no. I remember an article published in 2010 that talked about that subject and the only part I remember was that 6 in-house notaries had notarized 18,000 foreclosures in a fairly short period of time. It didn’t seem overly impressive to me but the writer really played up that fact as something shady.

During that time I worked with a team of notaries that would meet weekly at the convention center where home auctions were taking place. Flat fee, 9 to 5 with an hour lunch. Some well off buyers would purchase a dozen homes at a time.

I also did outside work for a law firm that represented homeowners that had signed their documents digitally and were challenging the validity of the contracts.

So yes there will be opportunities, be patient.

[cfletcher]

The perils of real estate investments and the timing on buying and selling properties. Who knows what the financial markets holds for real estate. As for us Notaries, people are still going to need us to notarize their real estate documents. Funny things, I am starting to see mortgage modifications for $40, a few years ago those signing fees ranged from $50 up to $90. I agree with ewing_joe, there are opportunities to be found…