We Asked Brokers: Where Is the Biggest Buyer's Market Today?

0:00National housing data can tell us where listings, price cuts, and sales are moving, but it can't tell us what a market is actually feeling like street-by-street. Right now, the national picture is getting investors' mixed signals, inventory is growing in some metros, buyers have more negotiating powers, and price cuts are common, but other markets remain tight and competitive. Today, we're going past the averages with three brokers and investors working in very different parts of the country. Micah Mortag is covering Georgia, Florida, in the southeast. Justin Harak is out of Austin and he's going to be covering Texas and the South. Willow Donald joins us from Long Island with a northeast perspective. We'll compare supply, buyer demand, pricing, concessions, rehab and exit risk, and where each one of them sees opportunity. I'm James Dainer, this is on the market. Let's get into it. I think one of the biggest things for real estate investors is making sure that we know

1:03what's happening outside of the stats, and the best way to do that is boost on the ground, what is going on in the daily grind of everyone's market. Perrealchurch.com, August Housing Report, active listings were up 3.6%, and 20.4% of listings had price reductions. And what we're seeing is certain markets are moving faster, certain things are getting absorbed, and some are getting worse and worse by the month. So we're going to dig into all these regions and find out what's going on. I'm going to kind of kick this off with the West Coast and the Northwest because I can tell you right now if you're a seller, it's not that enjoyable. We're seeing a lot more inventory. I personally have now 14 homes that just hit market, and typically I sell out about 60% at a time. I'll keep pending, and right now I have about 15% We're not seeing a lot of bodies come through. Where the bodies were coming through the last six months, but it has slowly, slowly been dropping. And the numbers are kind of speaking for themselves right now. Seattle's inventory is up 27.3% in price cuts, or average in

2:07around 4.6%. So we're seeing a big shift in what's going on, especially if you're a flipper, because what I'm saying is we're coming about 5% off what we thought are performing numbers we're working, and it's taking a lot longer to sell with all this active inventory coveted. And so like part of this whole game is there's seasons in different timing going on, but we're definitely seeing inventory increase as houses are coming on and buying demand has dropped. And so I want to dig in really quickly to what's going on in your market, and then what you guys are doing to kind of pivot around this because I know in Seattle, we have to kind of stay in front of it because if you're staring you wait for the price, you're going to wait for way too long the debt's going to eat up your deal, and you have to kind of shift down and just cut price and move it on. On the upside though, we're buying deals at least 15% cheaper than we were buying them nine months ago. And so if I was paying $500,000 for a house, we're finding these in the low 400s now, and there's been a big shift in what we can buy. And so even though we have the most

3:08homes for sale, the most money out right now, we're buying more homes than we were even four to five months ago, because I think the name of the game is you got to get rid of your bad inventory and load up with good inventory and get things moving, but it's not that easy because price cuts aren't solving the problem here. You know, we'll do a price cut and we don't see any more bodies come through. And so it's really about getting to the right price point and getting things moving to get the activity and then really working the sales on the phone. I have gone from really focusing on investing to I'm a broker on the phone, working phones, dragging in offers, working deals, and that seems to get it pending. And so we want to know what's going on in each region. They're all a little bit different Seattle, Portland, Spokane County, all getting toasts on the Northwest, but then we see little pockets like San Francisco. We've seen the highest sale of the list ratio, and it's had a massive rebound over the last 12 months. It is at 108% of lists, so the homes are selling for 8% over the list price right now. So I want to know how let's go in on each one of your

4:09markets, what you're seeing, what you're feeling, and what you're buying. And as brokers, what's your advice to get things sold in Justin, I kind of want to jump in with you first because Austin, Seattle, they're very similar. We go through the same struggles right now, and I know Austin's been kind of it's been putting along last two years. Yeah, I mean, Austin has had a whirlwind of the real state market in the last five years, right? Covent era, we got hot, hot. I mean, just insane numbers, low inventory, and it felt like, you know, every house was moving before it even hit the market. And so it's been quite like a shock, I think, to most people who are looking to sell their home now, because overall, like our market is like relatively flat, and prices have just like compressed. I think it was reading the other day, realtor, that prices have compressed over 27% in the Austin market, and sellers just have like crazy misplaced expectations from what was to what is now.

5:10And that's probably the biggest challenge that we're facing as a brokerage is just really helping people reset expectations to one, what is a healthy real estate market, and two, what is their home actually worth. In Texas, in general, I think it's feeling a lot of that, right? There's some great policies that make our state great because there's a lot of builders who can build here. There's a lot of ways that we can create inventory within cities like Dallas and Austin. And so where we are now, really strong buyers market, you know, in some sense as a broker, it's been good to be able to slow down just in the sense of like, you're not rushing to take your clients to go see a home. You're actually giving them time to look through, make sure it's the right fit for them, and make a reasonable competitive offer with the sellers. So what do you see in like as far as like when you take things to market, what's what's the inventory this trading like even though Seattle's markets not doing well, throughout the whole Northwest and the West Coast, there's there's like the affordability bubble like things at the top end aren't selling. But people are opting for more dated homes that are

6:15cheaper that they can put their sweat equity in. Those numbers are a lot different than the stats I just read off at 27% more inventory. It's that's less inventory is moving like what's moving in that Texas South market right now. I would say that it is the homes that are affordable, but they're not necessarily the ones that are dated. Expectations that we set with our clients when they're going to list a home is that the things that are done well, the things that are done nice, those are the ones that tend to move. Because right now, I think in Austin, we have 116% of sellers to buyers. And so literally every buyer who's looking for a home can have at least two to three options versus a seller who's looking for a buyer. And so the buyers have time to go and look and prude and find the homes that they want. And what we're seeing is like they're selecting the ones that are not dated either slightly remodeled and or just don't have a lot of deferred maintenance to them because you know, they have the option to choose of the different homes. And so they're going to go for

7:17what's better. So as a because you flip a lot, you know, good story about justice. We met at BP con in San Diego. I think you bought me for a weekend. I did. Well, I bought you for like like an hour session on Zoom and I was like, no, man, I paid too much for that. I need to need to come visit you. Yeah, they flew up and hung out. Yeah. But you know, I know you're doing a lot flip. So like as an investor, you're broker. So you can kind of feel what's happening in your market. Like what does that tell you is an investor that you're focused on on your strategy and what you want to buy? Yeah. So I mean, right now, I'm not doing a lot. So in the past, we did a lot of ground-up construction, newer homes, like try to hit the top into the market, really expensive neighborhoods, trying to sell for a million and a half to a million. Right now, we've pivoted to trying to pick up in some of the tertiary areas outside of Austin, like Round Rock, Georgetown, Leander, where these homes, their prices have compressed quite a bit. But if they need to be cosmetically updated, we can go in there and spend $25,000, $30,000 and usually make probably a 40 to $60,000

8:21spread. And so where we were kind of trying to play on the top into the market when things were moving and interest rates were low. And we'd see spreads of, you know, a hundred to 200,000 a pop. We're kind of trying to stay in that lane right now where we're hitting singles and making 40 to $50,000 of every flip that we do. Well, it's quick and faster and gets you in and out of the deal. Yeah. And that's the thing, like the cost of capital right now with rates where they are, it can really eat into a deal. That's what, you know, because when you sit there and you start drowning in your own market and you're just raccandes on market, it's, you know, especially if you're in that price point that you were in, a million to $2 million, it's a four to $500 day bill. Right. And that will erode the profit so quickly. And when you're in a slow market, you've got to make sure that you can have velocity and move. Yeah. And that's like, like, that's the target of what we're aiming for is like, when we buy a home, we'll sometimes go in there, like we picked up one yesterday. We went in there and it was a beater. We ripped out all the carpet, got it cleaned up,

9:25did some light drywall patch and put a new HVAC in. We're turning around, putting it on the market as is hoping to make 30K on it, just because we bought it at such a good price. And so we'll sell it, hotel it to someone who will pay us slightly more, but because we only have it for maybe six weeks, it's worth it to us rather than spending four months trying to do a fool rehab on it to make an extra 20K. Yeah, just pivoting that plan because, you know, if you look at the Southwest in general, like Utah, Colorado, Arizona, they have some of the worst performance going on. Right. And the Northwest in the Southwest is just not doing well. Like Denver has the highest price cuts in America at 31.4% and Salt Lake City is third at 30.3%. And so like this rush south that we saw during the pandemic has slowed down for sure. And it's causing a lot more price cuts and people are just not pricing right out the gate. And so if you're in that South market, you want to just be careful about where you're going through. We're taking a quick break when we return more from our panel of expert brokers.

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14:34by neighborhood by neighborhood. I analyze every single month 120 zip codes. And I pull data from RPR. And I use this data when we're working with investors because we're very, very, very intentional now on where we buy what strategies, especially with flipping. So we're looking at price trends because we don't want to buy a flip in an area where the prices are potentially going to go down where inventory is going up. But overall, when I look at these 122 zip codes, it still says that Atlanta is technically our sellers market, which means our inventory is less than six months. And every single zip code except one on RPR right now. There's one zip code that's at like 6.5 in Atlanta and in our sub area. So inventory is going up. We definitely have a lot more leverage when you're a buyer. It's actually amazing. There's a lot more opportunities. But we're still transacting. So from a seller standpoint, they still always want to try, right?

15:37So we're listing properties. They're taking a little bit longer to sell. We are inevitably going to be doing one or two price drops. We're never just going to get to the point and like put it on the market for what it's worth. They're like, well, let's try. But eventually once we get it into the right price, they are selling and we are closing. It's just taking a little while. Well, yeah, I'm finding that a lot too. Like a lot of our sellers have overpaid for their home two or three years ago and life changed. Something happened divorce or whatever. They're coming to us and they're trying to like recoup and what we're finding is like, they're just having to take a loss on these houses. It's like either how you can rinse it out or you're going to have to take a haircut of 50, 60 grand just to get your household. That's 100% while we're experiencing Florida. What it's like high-percent to what's going on in the world. So like when it's good, it's good. When it's bad, it's bad. I feel like that's kind of like your Austin market too. The shifts are extremely dramatic. So the listings that we're putting up in Florida, unlike Atlanta, I mean, we're putting

16:39a no up. They're not getting showings. We're doing price drops. We're doing every bit of marketing. We're doing open houses. We're doing everything we can and they're not selling. We have unlisted and re listed several houses in my North Florida market, which is Santa Rosa Beach 30A, Destin. Mayor of our Beach has more inventory than I've ever seen. Right now, if you go into RPR, Mayor of our Beach inventory is 17 months inventory. It's flooded. It's a small area and the demand is just not there. So, which also means that there's a lot of opportunity there to scoop up some deals. South Florida, same thing. They're upside down. And it's sad. It hurts. I had a property listed in Sarasota, which isn't necessarily my market, but it was one of my investors. I sold a property to a couple of years ago. He needed to sell it and he's upside down. He's going to lose 100 grand. So we had to take it off the market and now he's looking at STR options. He's looking at rental options. And so that's definitely what's going on in Florida. Atlanta again, we're still

17:41moving on. We're just doing price cuts. We're still getting showings. It's just slower. So Atlanta's consistent. That's one reason why I love to focus my investors into the Atlanta market. The numbers are better. The products are better. I think Atlanta is like the number one flippy market in the country, isn't it? Or Georgia? Atlanta's doing, I mean, this out, it's one of the strongest ones. It's one of the rare markets that add a rising list price at 1.2%. Instead of people cutting the listing prices are going up and new listings are down 10%. So there's less inventory and pricing still staying stable. Whereas in Florida, it's struggling. Like Tampa's down 6%. Price per square foot's down 5.6%. Price cuts at 25.5. But then other parts of Florida, like Jacksonville are doing really well. Inventories down 16.9% in days on market are down 10. And so there's all these little pockets inside of each state that are moving or then there's pockets that you want to stay away from. Like what do you see on the buy side?

18:43Because you do a lot of acquisitions and because I just saw your face glow and you're like, oh, the buy side is, you know, like, what are you buying? And where's the opportunity? Right? Because when the market gets tough, there's a lot more opportunities to buy. Yeah, no, it's super exciting for me. I love the market we're in and I'm weird. Like I'm always opposite of everybody else is like, we're struggling. We hate it. And I am like beyond excited because there are a lot of investors in the Atlanta market and they're still interested. But we just have to be extremely, extremely intentional with where we're buying what? So if somebody says, hey, my strategy is flipping or my strategy is burr or, you know, rentals. We first look at the data. I don't even ask them where they want to buy. You know, we look at the data and the numbers and then we go look for inventory options in those areas. And we're, you know, this is something I learned from James. Like you can't wait for the perfect deal and dig for the perfect deal. You have to create the perfect deal. So a lot of these homes are sitting on there. The price, the price doesn't make sense for what we're trying to do. But what we do is we find the areas that we want to buy in.

19:44And we run our numbers and we write offers on all of them. And where we used to do that and we get declined or ignored. Now we're getting people, I did five offers two days ago. And two of them initial offers that we lowballed got accepted. And I'm like, oh no, no, I'm like, okay, we're actually under contract for two. We didn't ask for enough. Yeah, I was like, we're expecting counteroffers. And I'm like, I guess we should go look at them now because we're not even like running around and laying out a hundred degrees, looking at all these properties. So yeah, you know, there's a lot of like hidden opportunity again, something I learned from James. You got to look for different opportunities as far as like where you can subdivide a lot. And we're seeing a lot of that too. So if you look deeper, there's a lot of opportunity in Atlanta, which makes me super excited. I'm closing on one next week where it was a rehab. And the numbers worked for this house to be a rehab on this lot. And then we realized that it actually was sold with the lot next door. So we're getting two lots and one house for the price that made the numbers work for just one house. So the reason that

20:46they're selling the lot next door is because there was an encroachment when they started to renovate this house. They stopped and it were encroached on the other one. And instead of fixing it and demoing it, they just said, oh, we're just going to sell both. So we're closing on this one next week and we ran all of our different plays. We're going to demo the encroachment. I'm going to make this house look less scary. We're going to go in there, clean it out because there's water, fire, everything's living in there. It looks like one of James's scary projects. We're going to clean it out and sell the project for exactly the same amount that she's buying both lots for. So basically, she's going to have this other lot over here that we're going to build a house on for free. The new construction in that area is going for like 500,000. So definitely a really cool place. You know, you would think initially that we would just renovate that house. But I'm like, no, the renovation on that house is going to be 150,000. Her margins are going to be better to just sell that and stay into the lot, which isn't normally what you do, but it makes sense. So yeah, a lot of different

21:46opportunities. Oh, well, it's also like her risk, right? You know, it's like you invest 150K into that project, like substantially higher risk than just kind of trading the property, taking the win. And I think that's like what we're trying to do as an investment group right now is just like, how do we stack small wins instead of trying to hit these home runs that we were able to hit a couple of years ago because the market was so active and money was so cheap. And you know, you can hold a project for three or four months longer two or three years ago. And it would still perform because the market was just going up and up and up. And so even though you were having more carrying costs, you mean, it was just appreciating every month that you let it ride. And so exactly. Right now that's gone. It's like almost like it's compressing every month that you hold a project. And so these smaller wins that we can trade just real quickly have been a real sweet spot for us to where we can pop off 30 to $50,000 every every flip that we're doing. You're 100% right. So the play on that one while it made sense is if I put a Renault project in Atlanta under 200,

22:48it'll sell in a minute. And I just put one on the market. I didn't flip it myself because I don't like this area. It's got a lot of inventory, a lot of days on market. It's just it's not a nice area. And so I didn't want to, you know, sell it to one of my own investors. So I I put it on the market at $195,000 in the first week. We have three offers full price. I'm putting it under contract today. So that was the play with this with this double lot. I'm like, okay, she's buying it for 165,000. If we renovate this, it's $150,000 project is going to take months and there's going to be risk. There's going to be hold costs. It's not worth it. We can just sell this project for $165,000. Make it look less serious. Scary after we demo and fix the encroachment. And she's into this one for free. So yeah, that that's the play. And she's actually going to burn the other one. We're not even going to flip it. So she's going to build it and keep it. But it's exciting. It's definitely good in the Atlanta and the Atlanta world. If you're an investor or an Aria broker. And that's the important thing is you have to switch the strategy with whatever's going on in your

23:49specific region, right? The southeast, the south, the northwest aren't doing great. And especially in that expensive market. So how can you transact and switch up the strategy to work inside that? And that's about where the velocity is. What is selling more affordable? Because it's just too expensive for people. And it's really important to talk to your broker about what is selling? What's the absorption rate in certain price points and zip codes? Target those zip codes. Because, you know, I hear Seattle's bad, but there's certain price points and zip codes that are moving like crazy. And you can still get multiple offers even though a big chunk of it is not doing well. And so you got to switch the strategy with whatever's going on in your region and really dig in, not just on nationwide. Because well, you're up in the northeast. And the northeast has been doing actually fairly well compared to the rest of the regions. What are you seeing up there as far as inventory? What's selling? What's not selling? Because I know it's definitely been one of the stronger markets last 12 months. It sure has fun fact out of the top 10 markets in the US,

24:52eight of them in terms of appreciation are here in the northeast. My particular MLS, one key MLS, we basically cover New York City, Suffolk County, Nassau County, and the Hudson Valley. Right now, days on market are actually dropping. We're seeing appreciation. Our year over year appreciation is at about 8%. My days on market for my counties are 22 days. And we're still in a very strong market. I think a lot of it has to do with the fact that we have no land here. There's no way to add supply. And things are so restricted here in terms of politics and zoning that it is difficult to add supply. So that creates a stable demand. Therefore, pushing continuing to push prices up. In well, in those zip codes, what's the median home price? Is it an affordable area? Are they more expensive? Because what we're seeing, I know, I think it's the same for Seattle, these metro markets.

25:55We're seeing, you know, the economies getting low shaky. Companies are hiring. The tech companies are kind of locking up a little bit. They're laying off. And so we're seeing the top end, I know for me, if you're on the top end, the spectrum, the median home affordability is just going down. And that's where we're seeing that big shift. I mean, what should the price points that you're talking? Yeah. So I do business in two counties, NASA and Suffolk County. NASA borders up with New York City. So Queens, Brooklyn, and then after NASA, you have Suffolk County. So NASA County average price is $881,000. That's expensive. Yeah. Yeah. Which by the way, that's kind of like, you know, your 75800 is your entry level home, a median price point. And then Suffolk County is 735, which also kind of buys you a starter home in a decent area that needs work. So that technically is affordable housing here. I am aware that I am in a more expensive market. If I'm not mistaken, I believe the US national medium price point is around $45440ish. You know, we're

27:01about double that here. So for you to have a $5,000 a month mortgage is pretty affordable here on Long Island. What's going on that upper price points? Like, you know, median home price around 800,000. Like what's going on at the 1.5, 1.6 range? Is that slowing down? Or is everything just getting eaten up? Interestingly enough, those are the homes that are moving the fastest. So it's like if you're in 1 million, 1.5, 1.6, not only do you have nicer product, but you're in these areas that have more demand. They're more affluent communities, more doctors, lawyers, bankers, salespeople, etc. Like these homes are getting eaten up. There's one specific neighborhood that I could think of off the top of my head. We just had two properties in that neighborhood. One of them was listed at 1 million. The other one was listed at 1.2. They both went within one weekend and 200 grand over asking is not a surprise. Another home we just had 1.6 flew off the

28:07market. It's like location is everything here. And it makes sense because, you know, in that price point, you're making 4, 5, 600 grand a year, you have more stability. You have more assets. You have a stock portfolio, which by the way, the market's been up. So a lot of these people, they're pulling their pulling lines of credit out of their portfolio. A lot of them are paying cash. That's what we're seeing here. Okay. So you're seeing things are moving in that specific region now because when I look at the Northeast in general, it is doing fairly strong, but then you do have certain cities. You got to be a little careful in the steepest regional decline. The inventory is up 9.1% in Boston, 15% in Providence, in 16.1%. Providence has some of the worst trajectories. So there's little pockets. What do you see in like upstate New York, where it's a little bit more rural? Is that still moving well? Yeah, I could only speak to Long Island, which is where I only do

29:09business on Long Island. I have no idea what's going on upstate or outside of Long Island in the boroughs here. But what I can speak to is within my market, there are some areas that are more kind of like entry level borderline ghetto. This is where you have the cookie cutter homes. You have properties that are 5, 5, 50. Those properties are sitting longer. And if you don't have something unique, like if you're not at the end of the block or you have a larger lot or you have an ADU or a basement apartment, something to offset that higher mortgage, you're probably going to be sitting on the market a little longer. Okay. So the actual kind of below that medium price, that lower end is actually what's sitting because interpreters are probably affecting that buyer a lot more. 100%. We see the wealth gap increasing for sure, where those who hold assets are just

30:10becoming wealthier and spending more. Those who don't, which typically, you're buying a house for five, six hundred grand here on the island, I don't want to say broke, but you're not in a position to do work to the property or spend the way those people at one million plus are spending because you don't have assets. You don't come from a wealthy family either. Yeah, when you're looking at like I was looking at Buffalo, Buffalo, yes, very affordable. You have your median home price is 273,700, which is actually down 4% year over year. Inventory is up 30% and price cuts are at 11.1s. It's not, the price cuts are as drastic. What I'm hearing everyone say is every market's got its own little sweet spot. That's right. Where it wills at, he's actually looking at the more expensive stuff, where Justin, myself, we're actually looking for the more affordable stuff because that's where the

31:11velocity is. There's no strategy that works across all regions. You got to look at each area, each zip code and really talk to your real estate professionals about what is moving and run those reports. We'll be right back after the break. More of our panels stay with us. Quick note before we dive back in, this episode is brought to you by cash app. I've been using cash app for years to send and receive money. Sometimes I need to pay someone who doesn't take credit cards or if I want to split a check or just to pay back a friend for a shared cost. Cash app also helps me online shop safely. More investors are thinking about where Bitcoin fits into a broader portfolio. Not as a short-term trade, but as long-term exposure to an asset that behaves differently from traditional markets. Cash app makes that kind of Bitcoin strategy more straightforward. You can buy Bitcoin directly in the app, set up recurring purchases or make larger buys when it makes sense for you. And with zero fees and zero spread on automatic purchases like auto-invest,

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36:21finance to deal? Are they bringing cash? Are they having to go through hard money? Some combination of the both. Because that is going to set the trajectory on how we underwrite the deal and what they can actually afford. So I'd say the biggest thing is I want to know how are you trying to finance this deal? So for us, we use hard money. We pay about 9%, 5% down, and then we usually will borrow some gap money from a private investor. And so our borrowing cost on some of these projects usually runs around 20 to 25K when it's all said and done and we include title and closing fees in there. And so we already know that whatever our price point is, we have to get it 25K lower to make sure that we're making a deal work and pencil for us. And so that's the biggest thing is how are you going to purchase this and what's your financing plan? Because that's going to just determine how we're underwriting it and what kind of holding cost you're going to have over the course of the project. Okay, so you're looking at more debt, how long are you going to keep

37:24it for, and the average days on market and the absorption rate is going to be really important on that. Yeah. Michael, what are the things when you're looking at with a client? If you had to go, hey, this is what you're going to flip today in Atlanta. What price point are you looking for? Yeah, definitely certain staffs that I look at when I'm looking for flip investors, of course, we look at months inventory. I look at the trends to see if that particular area has a rise in inventory, which might indicate that prices are going to go down because it's going to be harder to predict a future ARV if the price is going down. It's not that we won't buy in those areas, but we just are a lot more conservative with our numbers if we do. But Atlanta has more opportunities in other areas. So we'd rather just go into the safe areas instead. The other thing I look at is I look at average home sale in the area and I compare that to my ARV. So if we're buying a property with the ARV of 450 and I'm talking Atlanta, so I don't want to buy in an area where the median home price is 300 because I'm not trying to way over shoot that neighborhood.

38:29If the average price point is 300, you might not be able to sell right now somebody that could afford a 400,000-50,000-dollar house in that neighborhood. So I really try to buy in areas where the median home price is at or a little higher than what our ARV projection is. So we can be in the middle or not trying to break the neighborhood record. And the other thing I do look at is this price to sold price in days on market. I'm a real estate broker. I'm promising to sell this. I want it to be profitable for my investors. So if I say we're going to sell it for this amount, I want to be very confident in that. So days on market will affect our whole costs and list price to sold price. If they're doing a lot of big price drops in that area, it's definitely a red flag. So yeah, those are the three main things that I look at when we're looking for flips strategy specifically. Okay, yeah. What's the velocity? Where's the affordability? I mean, that's right. Oh, what we're looking into, digging into every zip code. Well, out in the Hamptons, Long Island,

39:34what do you look at? If I'm coming to you to flip a project out there, what's your vice for clients to get in and out of a deal? What would you be targeting? One of the first things I would make sure that I truly understand is what does the consumer want? What kind of product are they looking for? In what location, what does the average buyer look for in wherever you're trying to flip? So for example, in my area, a lot of people want an accessory unit. They want to rent out a part of the house. We do a lot of basement apartments here or garage conversions. Maybe in a different market, it might be an open concept kitchen with a specific countertop and specific amenities. So truly understanding in your market what the buyer wants. Number two, I would say is nailing the price. A lot of sellers are stuck in 2021-2022. I think pricing ahead of the market is very important. What I mean by that is if everybody's asking for

40:39650 list for 599, we just had a client that he wanted to list at 650. That's what the cops were saying. We advised 599 and because we listed at 650 based off of what the seller wanted, we ended up selling for 599. I guarantee you if we would have listed at 599, we would have sold for more. So understanding your pricing strategy is very, very important. Understanding what's on the market around the property you're trying to flip, I call the brokers. Hey, what's going on at this listing two blocks away from this property I'm trying to buy? Hey, I'm closing on this property. How have things been going at your listing over there? We have similar properties in similar locations. What feedback have you gotten from buyers? What offers have you seen come in at this particular price point? And then I want to get ahead, take that feedback, use it to my advantage, and position my property in a place that's going to cause it to sell by pricing it more attractively and catering to the buyer depending on what the feedback given to those other

41:40surrounding brokers was. So those are some of the things that I'm doing to position my inventory ahead to cause them to sell quicker and for more. We got to find that sweet spot as the broker. If we all hear, I mean, the news is out, right? Rates are high, inventories going up, there's more sellers than buyers, month splice is on the rise. And so as you get into the investment world, those are what we got to look at is like, okay, this isn't COVID anymore. Not everything's going up, but there's certain pockets, price points, they have a lot of activity in it. And if you can target and work with the right brokers to find you those right deals, that's where you want to be. Cause, you know, especially the deals are getting better and we just have to find where the velocity is. So we'll leave it there today. Micah, Justin and Will, thanks for giving us your views from your markets. And for those listening, follow on the market, wherever you get your podcasts, and subscribe to our YouTube channel for more real estate news and analysis and investor strategy.

42:42I'm James Dainard, thanks for joining us and we'll see you next time on the market. Technology designed to reduce bacteria in the wash without fading fabrics. Plus, with great prices at the Home Depot, you can save on selective appliances designed to make laundry day easier, shop Labor Day savings at the Home Depot today. Offered by the dogers 27th through September 16th, we'll only see store online for details. FanDuel is now available everywhere in the US. So you can get in on the sports action no matter where you are, including these places. Make this your most rewarding season ever with FanDuel. Agent location restrictions apply, product availability varies by market. CfanDuel.com for eligibility, gambling problem called 1-800-Gemmar.