Home Sales Are Down, Financial Needs Are Up, Deals Are Plentiful
Whether it is keeping up with living expenses, building a retirement fund, or creating your legacy, financial needs seem to be scaling fast.
The great news is that for those wholesaling and flipping houses, deals are also growing, with more motivated sellers, and record high prices.
Growing Financial Needs
Real inflation is now like a runaway train hurtling at full speed, with no sign of slowing down. People won’t stop spending, causing prices of groceries and other daily and monthly expenses to continually escalate and spiral up. $10 for a carton of eggs, or your car insurance going up 30% with no warning is just the tip of the iceberg.
At the same time Fidelity has warned retirement savings balances dropped by around 25% last year. Morgan Stanley predicts the S&P 500 could come down by another 25% plus in the next few months. Factoring in real inflation, those with IRAs or 401ks invested in stocks could see the real value of their retirement savings down almost 80% by the end of this year.
Meanwhile a new poll shows that most believe they need at least $3M to $5M to retire. While Vanguard reports the median retirement account balance they manage is less than $28,000.
That’s a big gap, and it’s growing.
There’s no question that real estate, and especially quick flips or wholesale deals can be exactly what is needed to supersize income, and regain, and grow your nest egg quickly.
Home Sales Are Down, But Records Are Being Set
Bloomberg reports that existing home sales have now fallen for 12 months in a row. Yet, some markets are still seeing organic appreciation of 30% plus year over year.
Luxury Palm Beach homes have recently been flipped for 86% returns, totalling tens of millions of dollars. A trailer in the Hamptons recently sold for almost $4M.
There are huge profits to be found, if you get out there and do the deals.
Making It Work
It’s true that giant financial institutions, banks, and corporations are struggling. They are slashing workers and closing offices. Even Walmart, which should be a top performer in this phase of the market is reporting it is down for the second year in a row, and is cutting its financial outlook.
Of course, many of these companies, including Upwork and Walmart are those that have been self-sabotaging by burning their best and most loyal customers, and stripping away customer service over the past year.
If you give bad deals, and treat people poorly, they are going to shop somewhere else.
So, as the number of motivated sellers increase, and there are great opportunities for fast flips, stand out with great, human service, and price your deals competitively, and you should have no problem exceeding your financial goals this year.
