What we think you will see and how we recommend you act on it in the coming new year!
As my real estate mentor always did tell me, “My opinion and a dollar will buy you a cup of coffee.” But for all those who care to listen, here is the way that I see the real estate market as a whole going in 2014, and some strategies that in my humble opinion could benefit our users as well as a little review of some of the highlights of 2013 real estate, and ListedBy.com specifically.
To start, I will give some background to my opinions and what I have done so far to capitalize on the market. At the end of the year in 2011 and the beginning of 2012 I told all of my friends, clients and all those who would listen that I strongly believed that the bottom of the market had
come and gone and that we would look back at 2012 and ask how much did we capitalize on it. If you look at the stats and all of the trends, that has proven to be true. If you are one of our long term members of the site you likely remember my predictions and strategy email blast we sent out last year at the end of the year 2012 where I predicted prices to continue to rise dramatically in 2013 and the stats seem to have backed that up and then some. In 2013 I had projected that you would specifically see BIG increases in home purchase prices in target areas such as California, and Las Vegas. From June 2012 to June 2013 I am thankful and proud to note that condos in Las Vegas were up an astonishing 80%!! You can read the predictions email from last year on our blog HERE if you want to review, and you’ll see that thankfully we did hit it pretty much right on. The market at that time was in a slow upswing nationally that has now turned in to a full on roar as we had projected, and in those target markets we mentioned the increase in home purchase prices has soared beyond even our expectations. This means that now more than ever the market is changing and evolving at a rapid pace, and this creates a BIG opportunity to make a lot of money, but also creates some risk, as the more fluctuation there is in a HOT real estate market, the more you need to really pay attention to your strategy and your execution of that strategy.
The 2014 Real Estate Market represents to us a still powerful buying opportunity, but we advise all real estate investors that are not as experienced to proceed with caution and please do NOT make the mistake of thinking this is simply another boom market that any idiot can buy a house, do nothing to it, and make a huge ROI. If you are experienced, have a strategy, know how to execute and have access to opportunities then THIS is the market for you, because a hot real estate market like this can turn a typical 23% ROI on a deal in to a 200% ROI literally in a hurry. I am projecting that the market continues to have a steady rise in 2014 and we are looking at the peak coming in the summer of 2015 and then either leveling off a bit at that point, or perhaps even crashing to some extent in 2016, or 2017 depending on what happens with interest rates and inflation. Having said that here are a few tips that hopefully help you a bit in the coming year:
- This is the type of market where you want to get more creative with your strategies, search for those off market deals, look at creative structures of the purchase.
- See the deals that others don’t see! When I look at a house, or any real estate investment I am going to analyze it probably from a completely different angle than most real estate investors because my strategy is so different. I can walk away from the negotiation table and have both parties feeling like they got a good deal because I am not focused on the same things the owner is.
- Have a set strategy and STICK TO IT! Don’t try to one week be a house flipper, the next week be buy and hold. It will mix up your buying strategy too much and you risk ending up with neither. If you are buy and hold long term, buy with as much leverage as you can and focus on rapid inflation to kick in at some point. If you are short term, focus all your energy and look for the off market deals, I recommend this awesome little site called ListedBy.com for that.=) Look at your marketing program for your properties after you buy them, and do NOT be cheap with your gameplan. If spending an extra $250 on marketing your properties gets you exposure to an extra 1,000 buyers and from that gets you an extra 5% on your purchase price YOU just made out BIG on that investment.
- This is a business like anything else and this type of market IS going to go up more in the coming year that is all but guaranteed the only question is can YOU capitalize on it. The answer to that question depends on how effective your strategy is and how much energy and time you have to dedicate to the execution.
- That leads me to my last silly little somewhat obvious bullet point which is EXECUTION IS KEY! I have bought apartment buildings where the guy was loosing thousands every month and we turned it around and made it cashflow positive within 2/mo. The difference wasn’t anything with the buildings, it wasn’t the tenants, it was simply we cared, we had a plan, we had a property manager that did their job and as a team we all executed. The plans are important but a great strategy does not guarantee you anything, the execution is what gets you the profits.
Having typed all of that happiness and my rambling as I tend to do I want to sincerely thank all of you once more for all you do as members of our site and our network here on ListedBy.com, and our groups on LinkedIn. YOU and your use of our site is truly what keeps us alive as a site and a company. In 2014 we look for more of the same success we had in 2013 to be continued hopefully the same with even more profitability and we hope that this silly little article might help at least some of you to benefit from the coming real estate market. You can see below some exciting highlights and thank yous for ListedBy for 2013 and some exciting things coming also.
ListedBy.com Thank Yous
- Special thank you to our advertisers that allow us to be free for our site members. We’re still a really small company and you guys help us grow and took a chance on us and for that we’ll always be thankful!
- EquityBuild – Members if you haven’t already you can download their free real estate investing eBook here to help you in the coming year!
- Auction.com – Free home valuation from our partners at Auction.com which is in my opinion worth it’s weight in gold!
- Quicken Loans
- Many Others THANK YOU SO MUCH!
- More than 250,000 hits to the site, and now more than 300,000 active members!
- Partnered with Foreclosure.com to add an extra 2 million foreclosure listings to the web site for our members
- Fastest growing real estate groups on LinkedIn with our 2 groups “ListedBy.com – Online Real Estate”, and “Real Estate Extreme”
- Made the cover of Realty411 Magazine
ListedBy.com Exciting Things To Come
- ListedBy.com version 2.0 to launch with a new site with exceptional features such as live chatting between members, detailed reports of members viewing your user profile and listings to generate targeted leads for agents and real estate investors
- ListedBy Concierge – The much requested program that helps real estate agents and investors get UNREAL targeted exposure for their listings to hundreds of thousands of buyers from around the world! See details HERE!
Thanks so much and sincerely to you and yours have an exceptional holiday and lets hope for the happiest, healthiest and most prosperous year we have had so far! There is strength in numbers and strength in sharing knowledge and helping each other as a group we can achieve exceptional things in the coming year and beyond as we grow. If there is ever any way that we can help you and support your business as you do ours please let us know.
CEO and Founder of ListedBy.com site
In an extended interview on Real Estate 360 Radio, ListedBy’s founder and CEO Stephan Piscano shares key information about the online auction movement and discusses specifics related to ListedBy.com.
With transparency and low cost environments being key drivers for buyers and sellers to explore auctioning residential or commercial real estate assets online, Stephan, an accomplished property investor in his own right explains how the free business model can benefit both buyer and seller, and how it can create a new opportunity for the representing real estate agent on both sides to capitalize on the auction trend.
In the interview Stephan offers to listeners an extremely compelling and complimentary downloadable eBook on real estate investing that is helping new and established investors generate double digit returns.
Listen to the interview at http://bit.ly/1eckLl7.
Creative Financing and Real Estate’s Ken Sheppard Radio Interview With ListedBy’s Stephan Piscano – Part 1
Ken Sheppard, a successful real estate investor for over thirty years hosts Stephan Piscano, the founder of ListedBy.com, for Creative Financing and Real Estate’s radio show this week. Piscano is scheduled to appear on the show for two weeks.
Per Ken Sheppard, “In our Stephan Piscano Interview Part One, we will learn how ListedBy.com came to be, what this game-changing site offers you that no other site does, and where Stephan’s vision sees ListedBy.com going in the next couple of years.”
Listen to the interview >>>>
AGBeat’s Tara Steele covered it and we couldn’t have explained it better ourselves. The momentum and involvement on ListedBy is moving to new heights each week. Traffic is on track to hit 40,000 unique visitors this month or more, and Realtors, consumers and real estate investors are engaging more and more with the system’s Best Offer and auction tools.
From AG Beat:
ListedBy auction tool focuses on transparency, disruption
HC’s Ryan Stewman wrote a blog post today along with a detailed video analyzing the key aspects of ListedBy.com. Beside the fact that ListedBy is indeed gaining rapid traction amongst real estate professionals and investors, what was interesting is that Stewman honed in on the LinkedIn-like social networking system built in to the platform.
“Anytime a new technology comes out, a few hardworking people who rise to the challenge, can find gold in it. I believe ListedBy.com is gold.”
One of the main challenges that face the real estate industry today is to figure out how to use social media effectively in business. Many real estate professionals wonder how much time they should spend social networking, while others struggle to come up with effective content to keep that elusive engine going. Fair challenges, among many many more.
By integrating the LB Social™ system into the overall ListedBy.com dashboard and tool set, REALTORS, investors and consumers can effect social interactions that are directly linked to the business at hand. With little effort. From creating a detailed professional profile, researching and connecting with a local agent with a click, to building a regional or national REALTOR referral network, to inviting and adding personal email contacts from Outlook, Gmail and others with ease, it’s all there. What is left is for the user on ListedBy to realize that these tools are available to them, then use them to their advantage.
Stewman also discusses why agents should also look to lock in their zip codes in terms advertising on the site, as with any new and fast growing site, getting in early has its advantages. Both from a lower cost point of view, and from an early market positioning perspective.
For those new to the site, ListedBy is the first free real estate marketplace and social network with integrated live auction and ‘Submit Offer’ functionality. Basically, a real estate auction site where users register to use the site entirely free of charge, then list properties for sale either through the auction option, a Best Offer / Buy It Now option, or a straight forward Classified option. All the options are free.
In all cases, the listing agent/poster is featured as the primary contact next to their listing, with all their contact information and hyperlinks back to their own website, to connect them with potential buyers as quickly as possible. No middlemen in between overshadowing the listing agent on their own listing page.
While traditional and longstanding auction sites and organizations may not like ListedBy’s business model (they charge 1-10% buyer’s premium on every property sold), ListedBy has done away entirely with ALL fees associated with auction. No registration fees, and no buyer premiums. ListedBy’s revenue model is mainly advertising based.
Like Stewman said in his article, “Anytime a new technology comes out, a few hardworking people who rise to the challenge, can find gold in it. I believe ListedBy.com is gold.”