These uncertain times bring both opportunities and turmoil for real estate investors.

While many investors are struggling through these tough economic times there are

some out there actually striving? As investors we must continue to change with the

conditions and it seems we are changing almost daily.

U.S. home prices dropped at the sharpest rate in two decades during the first quarter

of 2008, tumbling a record 14.1%. Las Vegas had the worst performance in March,

falling 25.9 percent from a year earlier, followed by Miami and Phoenix. Only

Charlotte, N.C., stayed above water, gaining less than 1 percent over the previous

year.

In the past ten years when Americans needed cash for just about anything from home improvements

to purchasing cars and boats, going on vacations, acquiring a second home they turned to

the ever rising values in their homes. Most people had a cash reserve in savings that was readily

available at any ATM machine. That access to cash is not as easy to find anymore and investors

need to explore more creative ways to fund future investments and rehab projects. Before you

purchase a property, be sure you have secured the money as programs are changing daily. Check

your home equity line of credit, as property values continue to decline many are being frozen.

Years ago I read the book Rich Dad Poor Dad by Robert Kiyosaki, an excellent book for those

who have not read it. In this book he wrote that your home is not your biggest asset, it your biggest

liability. I read this in the mid nineties when we had consecutive double digit increases in

property values annually and it did not make any sense to me at the time, today it does!!!

Chris Yatooma, President

Real Estate Investors Association of Oakland