We received this email from Sherman Ragland – the President of the DC REIA, a close friend of ours and a speaker at our upcoming Philadelphia Seminar on November 9th. He has some great comments about the Baltimore market that we thought were worth sharing with you! Read below.

I am taking a lot of heat right now for telling
newbie investors to “STAY OUT OF BALTIMORE!”
… more experienced investors who know what they
are doing – no problem.
… but for newbies, you proceed at your own peril,
and it is not just me who is saying this:

JUST IN – TODAY!
“…Richard P. Clinch, director of economic research at
the University of Baltimore’s Jacob France Institute,
wasn’t surprised that the Baltimore area ranked poorly
for recent changes in prices and REOs.
“The housing downturn started later here, he said.
The city probably has the biggest problem, because there
are a lot more investor-owned properties here.  But it started in
Cleveland like two years ago. The fact is, we’ve got a ways
to work through on this particular problem in the metro area.
So this is going to probably get a little bit worse before it gets better!”
… so what is the City’s Solution to this so-called “problem
of having TOO MANY INVESTOR OWNED PROPERTIES…?”

To go after INVESTORS WITH A CHAIN SAW!

Last month I sent you the press release in which the
city was bragging about how they are taking down
absentee landlord left and right for buying properties
and “not moving fast enough”.
That was a week after sending you the official press
release from the city in which they had won a six-figure
law suit against an investor who refused to fix up his
property because he ran out of money and could not
get anyone to make him a loan because many lenders
have “red-lined” Baltimore City because the Mayor and
City Council are suing Bank of America and Wells Fargo.
for “Making too many loans to poor people!”
… it is a mess, it is going to get messier and really
ugly before the folks in Baltimore come to their senses
and start doing the right things (again) to turn things around.
Again, if you have a cast-iron stomach, then go full steam
ahead because it is the COMBINATION of the economy and
the policies that have come into play in the past 18 months
that are causing BALTIMORE to lag behind the rest of the
DC Region in terms of the recovery of its housing market.

GREAT TIME FOR EXPERIENCED INVESTORS who can
pound sellers into the ground with this information, and then
hang on for the next 2-3 years as Baltimore gets its act together,
LIKE CATCHING FALLING CHAIN SAWS for newbies
and less experienced investors.
We will go into even more detail on this topic at the upcoming
Greater Washington, DC Real Estate Investor Associations
SUPER MEETING on October 16th-18th.

To learn more visit www.DCREIA.com