Why is an Economic Recession Such a Great Time to Wholesale Real Estate?


As with any economic recessionary period there comes a wave of financial “hard-times” for many home owners. These hard-times bring about an increase in foreclosure rates that are the result of many home owners no longer able to keep-up with the mortgage payments.

Lending institutions in tough economic times are forced to foreclose on delinquent borrowers and will take back thousands of properties that they really DO NOT want keep as bank-owned inventory. The banks will often unload these properties to real estate investors at dramatically reduced payoff amounts. These properties are then purchased and then immediately resold at a profit by real estate wholesalers. This Investing style is called a “Short Sales” arvskifte.se.

Aside from the banks swelling with bank-owned or REO (Real Estate Owned) inventories, wholesalers also will see a big spike in “Private Sellers” drastically reducing the prices of their home in an attempt to avoid any foreclosure woes that may be headed their way!

A recession will generally cause a wave of both “Private” and “Bank Owned” real estate that floods the marketplace all at once. This sudden influx of available inventory of real estate will kick-off a serious “Buyers Market” situation. Sellers who are in any type of crisis and who need to sell very FAST are forced to sell their homes at deep discounts just to avoid losing their homes to the bank in a foreclosure situation. Its a vicious cycle that just ‘snowballs” as the recession worsens. Welcome to “2009”!

Experienced Wholesalers find it very easy to find incredible bargains in these HOT “Buyers” markets. A lot of people believe that wholesalers are just “capitalizing on others misfortunes”, and some folks will conclude that the wholesalers are somehow evil! I see it completely different, whereas, I believe that the wholesalers are doing a justice for both the Banks and the Private Sellers. The wholesalers are buying up all of the banks dead weight and helping the banks “cut their losses” and are keeping thousands of private home owners from going into foreclosure and possibly even into bankruptcy.

Long story short, great priced real estate inventory is plentiful in recessionary times, making it the perfect time for savvy wholesalers to make a boatload of quick cash. Booya!

No comments yet

leave a comment




Recent Posts



Interwin365 merupakan Agen judi bola online terpercaya Berkerjasama dengan semua bandar judi online dunia menghadirkan taruhan dengan Live dealer yang ramah.

agen bola isport365 merupakan salah satu agen judi bola terpercaya serta Agen SBOBET yang telah melayani para bettor sejati selama bertahun-tahun.

368SCORE adalah Situs Judi Bola terpercaya untuk taruhan judi bola, live casino, poker, tangkasnet, togel, slot online dengan pelayanan terbaik.

Link QQ8788 Menyediakan Game Agen Judi Online Poker dengan tingat fair – keamanannya terbaik, sekaligus terjamin akan tidak adanya BOT maupun ADMIN.

Bolanet88 sebagai agen judi casino di Indonesia juga menyediakan layanan customer service terbaik yang siap menjawab seluruh pertanyaan anda kapanpun anda mau.

Pokernet88 sebagai agen judi online terpercaya selalu menjaga reputasinya sebagai agen dominoqq dan situs judi online terpercaya dalam memberikan pelayanan kepada member.

jasa backlink