The best real estate investment you can make is not the beautiful and immaculate home that has been well cared for and available at the top price. It is often found in the property that stays on the market for a long time and is ignored by most buyers. Most people either can’t see the potential or a property or just don’t want to go all through the work and effort of making it into a great real estate investment. Real estate is like everything else in our lives. We don’t get something for nothing and there are no quick fixes, but there are some marvelous opportunities. Assuming that a property is well located, here are some indicators of a good investment opportunity.
Dirty or poorly decorated – Many people get emotionally upset with a home that is not well cared for or poorly decorated. They want to get out the door and not give it a second thought. Although these feelings may be understandable, they could cost you a great investment opportunity. After all, you would not live in the house in its present condition. Ask yourself what this house would be worth after you make the improvements that you would require.
Small home on a large lot – If the lot is large enough to permit an expansion, it could be a good decision. Perhaps the existing home only needs another bedroom and bathroom to put it into a much higher price category.
Lot is worth much more than the building – Sometimes, the lot has more value than the building itself. Waterfront properties are probably the most obvious example of this. Many people will completely tear down the existing structure and replace it with one of much greater value. Over the past twenty years Naperville has seen entire neighborhoods transformed because of their location and access to downtown Naperville and its splendor including North Central College, the Riverwalk and the many fine stores and restaurants.
Advice: Look past what this property is today and consider what it could become tomorrow. This is how the big money is made in real estate. Your Realtor can provide you with the information you need to make good decisions.
