The real estate market continues to show promises of new ways to make money on your investments, so the timing is ideal for you to start your next — or first — fix-and-flip initiative.
For example, the National Association of Realtors (NAR) recently announced that pending home sales increased by 3.4% in March, with month-over-month sales increasing in the North, South, and West while, interestingly, pending sales compared to a year ago increased in the Midwest and West.
The article posted goes on to say: “NAR forecasts that existing-home sales will rise by 9% in 2024 to 4.46 million (from 4.09 million 2023) and another 13.2% in 2025 to 5.05 million (from 2024). Housing starts are expected to rise by 1.2% in 2024 to 1.43 million (from 1.413 million in 2023) and 4.9% to 1.5 million in 2025 (from 2024).”
Along with improved sales statistics, prices are rising. After sifting through the data, CNBC announced the following: “Home prices in February jumped 6.4% year over year, according to the S&P CoreLogic Case-Shiller national home price index.” And: “It marked another increase after the prior month’s annual gain of 6%, and the fastest rate of price growth since November 2022.”
Us Pending Home Sales Jumped in March, Beating Expectations by a Mile
And CNN has chimed in with positive notes too: “Pending home sales — a forward-looking indicator based on contract signings rather than closings — climbed 3.4% in March, the National Association of Realtors reported Thursday, which was “the best performance in a year,” according to a release. That was well above the 0.3% decline forecast by economists, according to a FactSet poll. Contract signings rose across the country in March from the prior month, except in the Midwest.”
Later in its post, the news giant also signals indirectly that this might be a good time to get off the sidelines or ramp up your activity level in the real estate investment arena: “Housing inventory has improved recently, but it’s still not keeping up with demand. Not only does that mean homebuyers have fewer choices, but it also puts some upward pressure on prices in markets where there is an undersupply of housing.”
Al C., a seasoned construction professional, identified a promising investment opportunity—a 7-unit rental property near Temple University Hospital priced at $55k. With extensive experience in the field, he recognized the potential of the project. The property required a comprehensive renovation, including updates to kitchens, bathrooms, and exterior repairs. Al's swift action was facilitated by RFG's quick loan approval process, crucial in the fast-paced Philadelphia real estate market. Within a week, funding was secured, enabling Al to purchase the property and commence the rehabilitation—a significant stride towards his success.
So sift through the listings for your next investment opportunity, and then get in touch with the professionals at RFG, as they can walk you through the nuances of our financing packages, which include the 100% Fix-and-Flip Premier Loan and a Ground Up Construction Loan (with no LTC cap). They can also articulate some other ways that RFG can help you keep more money in your pocket during this process.
