Is This A Good Time To Invest In Property? They say the housing and property marketplace is at a stop. Folk do not really want to sell because prices are so reduced. Purchasers are wary because they don’t know if costs have bottomed out or not. It’s a confusing time in the property market.
Or it it?
If you are an estate financier then you perhaps already know this is a wonderful time to invest in property. And if you’re brooding about investing, and have been sitting on the fence, then you may already have missed out on some superb opportunities.
Here’s why…
The simple answer is prices may never be this low again. As you know, property values are something that almost always go up. In the many thousands of years folk have been purchasing houses, the overall trend is for costs to continue to go up and up.
Yes unlike the stock market, which always has periods of booms and busts, property goes up… Period. In stock investment they actually have an animal named for when stock prices go up or prices fall. A bear market is when values go down. A bull market is when values go up. If that does not say the stock market is cyclical then nothing does.
What Types of Real-estate To Buy
Naturally, the overused mantra for buying property is location, location, location. Buy real estate in a great location and you can never lose. I suppose that is still true. If you purchase a home on the beach, in the mountains, or in some ritzy neighborhood, then you usually always do well.
Special Types of Real-estate Today
But today there are some options that are a bit different than in a normal home market.
Foreclosures
Foreclosures are at an all time high. And in defined portions of the country, like Florida and Nevada, that were hit particularly hard by the foreclosure problem, repo’ed houses are extremely common. With foreclosure homes being so common, buying a foreclosed property could be a fantastic investment. These homes are typically up for auction and if you’ve got some prepared money, you will find a wonderful deal.
But naturally, they can also have Problems. Many times, folk have abused these homes because they knew they were leaving them. Regularly the owners cease paying and that suggests they have lost their will to take care of the investment and may let stuff like repairs and landscaping fall by the way.
Shore Sales
Until recently, lenders have been averse to let homes sell “short” of what’s owed on the mortgage. But the foreclosure mess, and the buildup of houses looking at repossession, has meant lenders are way more open to get rid of homes that are moving towards foreclosure. This makes buying short sales a wonderful investment bargain.
And with many homes being so “underwater,” or worth less than the loan on the home, householders realize that getting out from that situation could be better than waiting for the values to come back. And so short sale houses are getting more available on the market. You may even be well placed to find a realtor who makes a speciality of short sale investments. That could be a good way to go for an investor.
Rick Hart is a web business expert. He provides marketing tools for purchasing short sales in Tampa that help with loan alterations, short sales and foreclosures.
