Do You Know What Your Home is Worth?
The housing market has been on a roller coast over the last decade. First came the housing bubble, and the then inevitable crash. More recently, the housing market has recovered with remarkable pace. Foreclosures are down, home prices are up, and generally speaking, homeowners are in a much better position than they were even just a few short years ago.
Why? Several market conditions have improved. One of the big reasons why prices dropped so dramatically in the first place is because millions of homeowners hit hard by the recession and falling prices could no longer afford their mortgage. These homeowners, called “distressed” homeowners, numbered in the millions. Today, however, rising prices have helped lift many homeowners from negative equity, and there are fewer distressed homeowners.
Additionally, demand is high. Buyer activity at the start of this year was three times higher than at the start of last year. Supply, however, hasn’t kept pace. These market conditions place home buyers in a powerful bargaining position and have helped drive home prices up!
I have a report that explains in further detail why prices have gone up and why your home might be worth more than you think!
You can download the report from my website midtownerealtygroup.com. After reading the report, contact me today for a free market analysis.
Building Wealth Through Real Estate Investing
Whether you’re investing for cash flow or capital gains, your success is dependent on your education.
Here are a few Real Estate Investing Tips
- Have your Real Estate team in place when you are serious about looking for properties to invest in; Real Estate agent; Tax advisor and Attorney.
- Your first real estate investment is buying the home you live in. When you sell your principal residence for a higher price than you paid for it; you can derive large tax-free profits.
- Your real estate agent will help you look for properties in areas where you can gain appreciation over time; areas where there is re-development and ones that are well located and physical sound with cosmetic challenged.
- The buy-and-flip real estate investment strategy can work, but also has a downside. Buying and selling can be a way to make quick money if you time your investments correctly in a rising real estate market. However flipping can cause your profits to be taxed as ordinary income and could lose during the market down turn.
- Make real estate investments close to you. Buy property within two hours away from you. Venture further only when you really know another real estate market and regularly find yourself there for other reasons or you’ve found an excellent property manager.
- We prefer the adage of “Location, location, value.” It clearly emphasizes location but also the importance of finding good value for your investment dollar. Owning real estate in up and coming areas with new development or renovated properties enhances finding and keeping good tenants and leads to greater returns. Properties in great locations with extensive deferred maintenance, especially aesthetic issues that can be inexpensively addressed are another great opportunity.
- Among residential property options, our top recommendations are small apartment buildings and single-family homes. Attached housing makes more sense for investors who don’t want to deal with building maintenance and security issues. Attached-housing prices tend to perform best in developed urban environments.