October 31, 2009

People who make moves...My learning experience at the H&M Auction.

Today I went to an H&M Auction here in Atlanta, GA and had the opportunity to see investors making big moves on a rainy Saturday while most people were gearing up for the infamous Florida - Georgia game.  I was able to experience how investors were able to acquire property in the form of condos, multi-family complexes, and single-family homes that were once valued at over $100,000 - being auctioned off for $35,000 to $80,000.

There was one condo located in Buckhead, an affluent area in Atlanta, that sold for $82,000.... this is an awesome deal considering that this condo would have easily sold for $300,000 in the midst of the 2007 credit era.  I imagine that the smart investor that purchased this property will only have to wait about 3 - 4 years in which he can sell this condo for double of what he purchased it at.  But I assume he won't sell at all - because it will be smarter to rent it out indefinitely and get paid approximately $1300 - $1400 a month since it is in such a central and convenient location within Atlanta...and rents in the Buckhead area typically go for this amount.

Although it wasn't me this time making moves, it was interesting to learn how others make moves.  Sometimes we have to watch and learn how to play the game before we rush out on the field with the actual players.  Some people spend $82,000 on cars that depreciate in value and don't put a cent back into our pocket... but when we acquire assets that DO put money into our pocket - now we're making moves.

BE FREE

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