American voters are fed up with all of the double talk by politicians, and just want action. People are tired of empty campaign promises and want our so-called ‘leadership’ in Washington to fix the mess they caused.
Americans want to stop that giant slurping sound as their hard-earned money is siphoned off at the gas pump and eaten up every time they pay more money for less and less food at the supermarket.
When there’s too much month left at the end of the money, the quality of life for a growing number of people deteriorates fast. And empty promises will do nothing to change that.
The Powers That Be Don’t Want to Hear the “R” Word…
Recession is like kryptonite to those in power. They try every way in the world to avoid saying it. As bad as a 40-year high inflation is (which is where we are now), that’s somehow easier for these oligarchs to admit… just don’t say the “R” word.
But others are already saying it… like this new October report from Bloomberg, in an article titled, ‘Forecast for US Recession Within Year Hits 100% in Blow to Biden.”
In fact, the article says that the chance of a recession within 12 months has reached 100% under their new economics model… and the odds of a recession hitting sooner are also up.
The model forecasts the likelihood of a recession within 11 months at 73%, up from 30%, and the 10-month probability rose to 25% from 0%.
The deterioration in the outlook was driven by a broad-based worsening in the economic and financial indicators used as inputs to the model, Bloomberg Economics reported.
And they’re not the only ones, talking about a looming recession. Others, like the Conference Board, warns of a global recession late this year.
In the Conference Board’s US View in November 2022, they had this to say…
“The Conference Board forecasts that US economic growth will continue to slow over the remainder of 2022 and a recession will begin around the end of the year. Positive momentum, leading into the Q4, yield a modest upgrade to our 2022 forecast. However, new Fed guidance has resulted in a downgrade to our 2023 outlook. Recent progress in inflation data are welcome, but much more work is needed. Inflation will remain elevated in 2023. Job growth continues to be robust but may be cooling. However, even with a recession, labor market tightness will persist.”
Speaking of economic forecasts, we can’t leave out one of the BIGGEST elephants in the room…
The wild and wooly real estate market.
We’ve covered the broad real estate market, along with the economic woes, in prior articles. We discussed all of the factors coming together to create a ‘perfect storm’ in this market that affects absolutely everyone, since everyone must have shelter.
But a lot has changed in the housing market, since that article was written in August – an eternity ago by now.
In a November 14, 2022 article on Realtor.com, we get a pretty incisive look at this topsy-turvey market: ‘No One Wants To Catch a Falling Knife’: What to Expect in the Housing Market for the Rest of 2022.
Or said another way, we’re witnessing a ‘Mexican Standoff.’ Sellers don’t want to sell because values are starting to fall a bit. And buyers aren’t buying because of the outrageously high mortgage rates, thanks to the Fed rate hike a few months ago.
So everything’s in limbo right now… each side of the housing equation is waiting it out. The title of the article cleverly captures the sentiment on both sides, doesn’t it?
As bad as it’s likely to get… and maybe even a recession, some experts do not expect a market crash.
However, Mark Zandi, from Moody’s Analytics, expects prices will fall nationally by about 10% from peak to trough, bottoming out in the summer of next year.
“They’ll go down even more in the pandemic hot spots—such as Phoenix; Boise, ID; and Austin, TX—that experienced the biggest run-ups. Prices in these places could drop as much as 20%. Florida, where the demand from buyers is still strong, could hold up a bit better,” he says.
“The markets that got most juiced up during the [COVID-19] pandemic are the markets that are going to experience the biggest declines going forward,” says Zandi.
And then there’s the foreclosure crisis to add insult to injury.
According to a September 2022 MarketWatch article, foreclosures were up 187% from just a year ago.
The article says that lenders repossessed nearly 4,000 properties in August 2022, up 59% from the same time last year.
And Rick Sharga, executive vice president of market intelligence at ATTOM, says:
“Most importantly, over 90% of borrowers in foreclosure have positive equity in their homes and would benefit from selling these properties at a profit rather than risk losing everything to a foreclosure auction or lender repossession.”
Is There a Brighter Side to this Real Estate Conundrum?
Yes there is a segment of the real estate market that is not affected by the current standoff. And it helps homeowners avoid foreclosure (and losing all their equity to the bank) for the lucky ones, who know about it…
And that’s Wholesale Real Estate.
We’ve been talking about the dismal retail housing market, foreclosures, inflation and predictions of a recession – all of which is extremely worrisome for many millions of Americans.
But KeyGlee’s wholesale real estate business model continues to remain in a profit mode, during times such as these. Because we’re able to genuinely help people out of bad situations.
And that’s what I want to focus on for the rest of this article.
Our slice of the Real Estate pie is not subjected to the market gyrations of the overall (retail) real estate market.
So let’s focus our attention on a business model that could mean the difference between your success or failure in these trying times – if you’re looking for a viable business.
Wholesale real estate investing continues to thrive in up or down markets.
If you’re not familiar with wholesale real estate, it is a very simple business model to understand.
You don’t need a college degree to be successful, but what you do need is a whole lot of common sense, an unstoppable work ethic, and a deep desire to be financially free.
At KeyGlee, we have generated 8-figure-years since inception, by seeing an opportunity and creating a winning model to implement our strategies.
Collectively, our founders have over 50 years of experience (and counting).They figured out a way to bypass all the FixNFlipping, which is especially tough with today’s high costs/low inventory, due to supply chain issues.
Our founders also figured out how to eliminate a LOT of marketing costs and how to stop schlepping all over the place to look at properties that are often downright nasty to go into.
We have our own acquisition and disposition teams in place. A team that finds/acquires properties and another team that finds buyers for them. Really slick.
We have perfected our systems and processes to ensure success – and have garnered a national reputation for ethical behavior.
We’re one of the largest investment property providers in the nation and started our franchising operations in April 2020.
Today we’re in 48 markets nationwide, with 100+ franchisees – and still expanding.
Sellers will always want to sell at top dollar, naturally. And some of them can afford to wait out the stalemate, while others can’t.
Imagine the homeowners, who find themselves in a ‘need to sell now’ situation – due to illness, job changes, or other economic pressures.
Add to that those people, who lost all their equity, as the bank repossessed their property. So sad.
If a reputable company, like KeyGlee, had reached them in time… they would not have sacrificed ALL the equity in their home. They would have been offered a fair price and avoided foreclosure.
We’re able to help these people out of bad situations all over the country.
And by helping, I mean REALLY helping our fellow human beings to get out of a difficult situation, with their dignity in tact… and a fair price for their property.
It’s All About Having the Right Connections in Wholesale Real Estate…
Because of our incredible relationships with the investor community, we have buyers all over the country that we work with all the time. This allows us (and our franchise partners) to quickly find buyers for the properties we locate.
Our franchise partners get to participate in this well-oiled machine of matching sellers with buyers – all over the country.
KeyGlee is in an expansion phase, and we’re looking for experienced real estate agents, wholesalers, FixNFlippers, or business-savvy people, who may be interested in adding a franchise to their portfolio.
For more information (and to secure the FDD), we have a quick, simple way for interested, qualified people to evaluate our franchise business model.
Just schedule a phone call to kick things off. You’ll get the facts, so you can properly evaluate us, while we evaluate you. (Be sure to ask about our in-house financing for part of the franchise fee.)
Wholesale real estate investing is the BEST way to be on the winning side of real estate – and aligning with the right company is vital.
To your success,
Team KeyGlee
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