Posted by raelynn mitchell on October 09, 2004 at 18:07:35:
In Reply to: Re: where are best places to invest posted by David Garcia on October 07, 2004 at 22:21:35:
I have heard from someone who was there just two days ago that it was all over the local Las Vegas news that a major developer has just slashed home prices on many new models by 25%. The reason? Because this particular developer overbuilt and cannot sell its inventory fast enough. To keep up and not have their inventory also sit vacant for many, many months, other developers are following suit.
The bottom line is this: Las Vegas is in for a correction, so if you are planning to buy and flip make sure you get a MAJOR discount and be sure to factor a 25% discount into every comparable sale you see. If the deal still makes sense even with such a hefty discount, go for it. If not, don't do it, as you can easily get stuck trying to sell it like the developers.