Sometimes real estate can be really tough. You don’t always get to live where you want to, especially if where you reside is dictated by your job. When you routinely move for work reasons, which is often the case for military personnel, teachers and business leaders, you often find yourself in towns or cities with struggling economies. On the bright side of this equation, you can often purchase a home for an incredible price, on the down side, when it comes time to sell you may find yourself losing money.
How do you combat this problem? Essentially what you want to do is purchase real estate that is universally desirable and really negotiate the stuffing out of the price. To this end, you don’t want to buy the most expensive home in town, or one that has many limitations. Buying a home with severely outdated features (oil heat, narrow halls etc.) can make resale very difficult, unless you plan to upgrade it – but again, investing too much is probably unwise in a floundering real estate market. It’s best to buy a place that will be desirable to the widest range of buyers down the line. Consider getting something with two or more bedrooms, energy efficient appliances, a finished basement etc.
When you find a place that you can make work, be aggressive. You and your realtor want to snag the best possible deal on this piece of real estate. Do your market research so that you can make an informed offer, and get to know the area really well to gain some leverage. If the seller is motivated enough, you may be able to get a rock bottom price. Then again, if you find yourself in a flailing market but know you’ll be there for quite a while, you can risk investing more into some real estate – and cross your fingers that the market recovers.
Posted by Gurpreet Ghatehora on