What should I offer for an oceanfront apt. in Miami Beachthese days?

[DesertCat]

Do some rental analysis and don't pay a cap cost less than 7.5%. That area is glutted, more are coming and you want to be able to handle it if rents decline. I would probably price my offer at 8.5%.

[DoubleDealDecker]

Don't offer nothing for it. We are at the end of a very serious housing bubble and it will probably blow up big time.
If you must, listen to what apex said about 50%. The best thing you can do is wait at least 6-12 months. I promise, you
won't get hurt. Forget about 20%, it is not enough to cover your downside risk.

[MatthewRyan]

[ QUOTE ]
Don't offer nothing for it. We are at the end of a very serious housing bubble and it will probably blow up big time.
If you must, listen to what apex said about 50%. The best thing you can do is wait at least 6-12 months. I promise, you
won't get hurt. Forget about 20%, it is not enough to cover your downside risk.

[/ QUOTE ]

this mentality reminds me of the stock traders during the late 90's; obv the bearish instead of bullish, but same mentality

[DoubleDealDecker]

Please share with the forum your opinion on the Miami real estate market. I will go with down. Do you have any thoughts you would like to share?

[spex x]

[ QUOTE ]
Don't offer nothing for it. We are at the end of a very serious housing bubble and it will probably blow up big time.
If you must, listen to what apex said about 50%. The best thing you can do is wait at least 6-12 months. I promise, you
won't get hurt. Forget about 20%, it is not enough to cover your downside risk.

[/ QUOTE ]

I don't see any problem with buying now if you plan to hold the condo long term. As for downside risk, who knows. I don't believe in timing RE markets. If you get the condo for a very good price (i.e., 20% or more under fair market value), you'll probably be insulated from from any potential downside anyway.