Prior to the first housing crash myself and a partner were looking to flip houses out in Texas. At the time we were both located in FL where housing costs were ridiculous. (This was the height of the boom)
We went to Texas shopped around but the entire time we were there the lending agents kept trying to push us into more expensive properties. There were already lots of short sales on the market at this time and neither of us felt right about what was going on so we held off. 6 to 8 months later the market crashed.
Fast forward about 8 years.. Up until a few months ago I was looking to buy a multi-family building. Dealing with the finance brokers and it's the same shit all over. They have done nothing but try to make it hard as possible to buy lower priced properties but rather trying to push into more expensive stuff.
It doesn't take a rocket scientist to know that if your loan cost more than you collect in rent , then it's not a smart move unless the property value will go up fast in order to flip it.
This is the same shit they are trying to push again.. The broker even said hey don't worry if it's more we can "work" the numbers to get the loan through the door.
These guys have fucking learned nothing and are still pushing the same shit as they did before everything crashed.. I give it 5 to 10 years and we are going to see the same thing all over again, because I know this isn't isolated..
