stock market investing for dummies

Land Rush USA and Outlook 2009 Landrush USA  700 people attended  Media reports of US housing meltdown are overstated  Some stable markets are Seattle, Portland, Houston, Salt Lake City and Dallas  In Arizona, Nevada and California prices are still rising  Ozzie believes that south Florida, ground-zero for the mortgage crisis, will recover  It will take a while to clear the excess inventory  The over $1 million market is still doing well Landrush USA  To start search for US properties check www.realtor.org (National Assoc of Realtors)  Also see www.realtor.com , www.mls.com and www.craigslist.com, www.zillow.com  Get your US dollars ready ahead of time. Check Vancouver Bullion Currency Exchange www.bvce.info  Average cost to arrange a mortgage in the US is about $3,500 (lenders often charge points) Landrush USA  To tap into the REO market, stay in touch with realtors who have a relationship with the banks  Foreclosure investing: see Foreclosure Investing for Dummies by Ralph R. Roberts  Only affects 2.8% of American homes  This type of investing is complicated, frustrating and often not fruitful  Auctions are another source of below market properties. You MUST know how it works and have done lots of research on properties ahead of time. "Always wait, always inspect". Unreserved auctions s/b ignored. At the end of the auction there may be some great deals left Landrush USA Phoenix - Ralph Case of AMG Investments  Pop 4 million, fastest job growth in US, average of 130,000 per year growth over last 5 years, many large employers, Sky Harbour Airport one of 10 busiest in the world, low taxes, very large university, lots to do there, sunshine  Easy access from BC and Alberta (and Bellingham on Allegiant Air)  Likes Scottsdale, Chandler, Gilbert, South Mountain, Glendale  Average rents are $1,240/mo, strata fees low ($130 on $150k condo)  Arrange for vendor financing if possible to avoid US mortgage qualifying  Submit US tax return  Near golf course is ideal  Rural areas can have water problems  There are bad neighbourhoods, like any American city Landrush USA Washington Real Estate - Mike Kent Birch Bay has 80% Canadian buyers Having a Nexus card is ideal Ozzie has a home there 3 bed / 2 bath $300k Post Olympics the border will become more efficient US economy is on hold, after election will improve Excess inventory will be sucked up in next 10 years Many commercial companies are buying land over the border For now you will have to feed residential RE $200-$400 negative cash flow, hold for 2, 3 or 5 years  Environmental protection movement will limit land use          Landrush USA 20/29 Group - John Murphy  Resorts - LaCasa in Okanagan, Sotavento, hotel in Playa La Ropa, Mexico  Lakestone master planned lakeside resort on Lake Okanagan, Ski and Ride Smithers  <5% of boomers who plan to buy at a resort have done so  Predicts that at end of year loonie to US will be 87 cents  Use exchange rate swings to time your purchase, automatic gains  Surprise market is Texas triangle: Dallas, San Antonio and Galveston  Has all the right factors for growth Landrush USA Dangers of US rental investing - David Ingram  Unless you have US residency or green card, do not work on your US property yourself, can go to jail!  That includes property management in any form  Filling out US tax form properly is VERY important  Get a recommended cross-border accountant to assist with taxes, it’s worth the price  Go to www.centa.com to find recommended experts (or use David)  Before buying US properties (or now if already there) subscribe to centapede mailing list to learn and keep up to date on changes Outlook 2009 Downtown condo market - Jennifer Pridmore Russell  2007-2027 317,000 people will be moving to Vancouver  Moving out of the core and out to Port Moody, Coquitlam, Richmond, Surrey  Some developers going into receivership but not widespread  Realtors must become better educators because consumers are very well educated on the market  Olympics will boost consumer confidence  Construction loans will be harder to get in the future  Need to grow by 15-16,000 housing starts  www.mpcintelligence.ca Outlook 2009 Pemberton/Whistler/Squamish  Pemberton - small RE market, price peak reached, leveling off, maxed out, steady for 2-3 yrs, may soften due to Whistler influence  Squamish - leveling off  Whistler - # sales dropped from 173 to 71, visitors down so sales down, July was huge turnaround,  Median prices had 04 peak, townhomes have 46% of market, large demand from offshore buyers  Prices still below replacement cost  Expect deals coming from US owners as they take advantage of US market and sell here  Appreciation after 2010 Outlook 2009 Shawn Thorne - Saint John NB www.soldtoday.ca  Flipped 30 props in last 4 years, last 1.5 yrs buy+hold  SJ is port city, economy is booming, Irving family runs refinery producing 42% of cdn oil exports to us  Lots of oil/gas projects underway  New homes $147,000, construction @ $99 sq/ft  Many old multi-family cash-flowing buildings for sale  5% vacancy rate  Many advantages for landlords, easy to evict  Shawn’s company does property management Outlook 2009 Ozzie Outlook  There have been many downturns in financial market from which recovery has always been dramatic  74 - stock market crash  87 - another crash, quick recovery, RE benefited  90 - interest rates crazy, San Diego RE down 35%, rose 410% since then  95 - leaky condo crisis, Yaletown 556 sq ft condo was $100k  9/11 - US will create more money to boost economy which leads to inflation  Predictions –  Forestry recession (fewer houses built), automobile recession (gas prices going up) Outlook 2009  Predictions continued –  High tech continued boom, consumer products continued boom  Lots of unreported inflation  Boomers still a huge influence, $1 trillion to be inherited, advent of the dual pension retiree  Do not buy quarter shares  Will US economy survive? it's the biggest economy on the planet $13.2 trillion  There tends to only be change during crisis times, then new government with new plans, that's coming soon…  From now on there will be far more care taken in stock markets  Use your credit lines or banks may take them away  New US president will bring optimism  Continue to make lots of offers, if don't qualify use JV partners Outlook 2009 Alberta - John Tansowny  www.thecorporatecoach.shawwebspace.ca  Factors for choosing areas to invest in  1. location  2. quality/condition  3. price  4, construction/reno costs (get competitive bids)  5. profit potential (long term positive growth,  6. market stability  7. people  8. operating/living cost  9. infrastructure  10. weather Outlook 2009  Advantages of AB  $70,000 salary AB = $100,000 in BC - no sales tax, no liquor tax, lots of vacant positions  stay aware of fundamentals  loves Edmonton, still growing, had lots of stats, prices still going up  has 20 satellite communities. Calmar good 'cause near $1.2 billion airport expansion and Stony Plain  Calgary is still a disaster, 1 more year to go to clean up excess inventory Outlook 2009 Vancouver Island + Sunshine Coast - Randy Forbes (Coast Realty)  97% buy for principle residence  Campbell River 80% local buyers, then Albertans  Slow steady growth  Prices have peaked  Average home $313k  Comox Valley  AB #2 source of buyers  Listings up 9%  17% drop in unit sales  Average price $351k Outlook 2009  Parksville / Qualicum –  AB buyers are #1  Listings up 7%  Unit sales down %17  Great for retirement, few jobs  Port Alberni –  Some good infrastructure  Lowest average price @ $237k  Buyers from Victoria (selling here and retiring there)  Inventory down Outlook 2009  Nanaimo –  5% of buyers from Ontario  slow gradual rise last 3 yrs  Harmac mill bought by employees and others  Inventory level, good time to buy is Nov 1 to Jan 1 (desperate sellers)  Downtown condos completing  Major airport expansion in works  Powell River –  Good deals in 250-300k range  Good rental market, local paper mill downsizing Outlook 2009  Gabriola island –  Substantial increase in listings  Big inventory  Port Hardy –  Average price $230k  Low vacancy  Overall –  Check out coast realty mortgage investments @ 12%  Get a 15 year plan