Palm Desert Foreclosures Are A Real Bargain
We all know we need to invest, but how do we do it safely. Most people invest in stock market in one way or another, but how do we know we are buying at the right time. Investment advisers and the financial news tell us we need to invest steadily to take advantage of the market’s ups and downs. But what happens after we are retired, and we can’t handle the down part. For the last 10 years interest rates have been so low that it’s been almost impossible to get a decent return. The stock and bond markets are full of problems right now.
Real estate is a different story. When you buy property you’ve got something tangible. You’ve got something you can see, feel and use. You can live in it, or you can lease it out, or you can sell it. Right now if you’re investing in Palm Desert California property, you can get a great deal. There are thousands of properties, in Palm Desert, that are either in foreclosure are headed for foreclosure.
Real estate prices are at all-time lows all over California. Palm Desert is a great example. There are over 500 properties in the foreclosure process there. Some of these represent fantastic values. For example, on Arden Street, there is a house that once had loans of over $1 million on it and it is now assessed for $321,000. That home is now owned by a bank that is desperate to get rid of it. The next buyer will get a real deal.
Real Estate has always been a primary investment. Everyone needs a roof over their heads of some type. Over the last few years, new home owners were forced into ridiculous mortgages that created un-affordable balloon payments within 6 to 10 years. This has all come crashing down now, and these unhappy homeowners are bailing out of their now un-affordable homes. This is causing a glut of homes on the market and reducing prices so that investors can now buy a California properties that they can now rent out for a positive cash flow.
These investors are only paying about half of what the properties cost just a few years ago. Because of that they can rent them out cheaply enough that the same people who could not afford the mortgage payments can now afford the rental payment.
Today’s interest rates are really helping out. I don’t know how long it will last, but my sister just bought a house in Palm Desert, California and got a 30 year fixed interest rate of 4.62%. That probably won’t last long, but interest rates today are so low that the new purchaser can profitably rent a place for a very low price.
There are a lot of free financial calculators on the Internet that will let you calculate exactly how great a deal you can get. Try one and you will see that now is a great time to buy foreclosed property in Palm Desert, California.
