Real Estate Investment

Explore our comprehensive guide to real estate investment strategies, market trends, and expert insights to help you navigate the dynamic world of property investment.

Real Estate Investors Surge in Affordable Cities

Real Estate Investors Surge in Affordable Cities 2048 1536 Ines

Real estate investors are increasingly stepping in to purchase homes, with a record 14.8% of home purchases in Q1 2024 attributed to investors, according to the Realtor.com 2024 Q1 Investment Report. Small investors, defined as those with 10 or fewer homes, are leading the charge, making up 62.6% of investor purchases during this period. This trend is particularly pronounced in affordable markets, especially in the Midwest and South. Notably, Springfield, MO, tops the list with investors purchasing 20.5% of homes. As high interest rates and inflation persist, these markets offer attractive opportunities for steady rental income. #RealEstate #Investment #AffordableHousing #Midwest

Small Investors Dominate Real Estate Market

With high interest rates sidelining average homebuyers, real estate investors are capitalizing on the market, making up a record 14.8% of home purchases in Q1 2024. Small investors, those with 10 or fewer homes, are increasingly active, especially in affordable cities like Springfield, MO, Kansas City, MO, and St. Louis, MO. The trend reflects a shift from large to small investors, driven by rising home prices and mortgage rates. Investors seek affordable markets with rising rents, making the Midwest and South particularly appealing. This surge is reshaping the housing market, emphasizing rental over for-sale inventory. #Investing #RealEstateTrends #SmallInvestors #MarketShift

College Students and Parents Are Opting for Real Estate Investments Over Dorms

College Students and Parents Are Opting for Real Estate Investments Over Dorms 1280 853 Ines

“For Those Who Can Afford It, It’s a No-Brainer.”

When Klew Yeh Mori’s son entered his junior year at the University of Portland, she made an unconventional decision. Instead of writing another check for a dorm room or off-campus apartment, the Salt Lake City real estate agent bought a house.

“I don’t have to waste money on rent anymore,” Mori was quoted in a Realtor.com report. “Now we’re collecting rental income from his roommates to help with household expenses. It’s a win-win for me.”

Mori is part of a growing cohort of parents who are purchasing properties for their college-age children to live in. They view this as an investment strategy that can pay dividends both during and after their offspring’s academic careers.

While not new, the trend has gained momentum as housing costs in many college towns have surged. Parents see an opportunity to build equity instead of paying for increasingly expensive dorms or rentals. “It’s almost certain that the demand will be there for rental properties in a college town,” Samantha Sousa, a real estate broker, said in the Realtor report. “With college towns, property values historically rise, so if parents decide to sell after a few years, they will likely benefit from the equity built.”

The Benefits

Parents like Mori see multiple advantages to this approach. The primary benefit is the potential to build equity rather than paying for temporary housing solutions like dorms or rentals. Over time, property values in college towns tend to rise, allowing parents to benefit from capital appreciation. Furthermore, collecting rent from roommates can offset mortgage and maintenance costs, making it a financially viable option.

Jay Voorhees, founder of JVM Lending in Walnut Creek, California, has seen the strategy pay off. “I have seen investors make hundreds of thousands of dollars buying properties for their college-age kids to both live in and rent out to roommates,” he said.

In a blog post, Voorhees noted that parents can access more favorable owner-occupied financing rates if their child is on a loan. “A kid does not need any income to be on the loan.

College Students and Parents Opting for Real Estate Investments Over Dorms

College Students and Parents Opting for Real Estate Investments Over Dorms 1200 675 Ines

When Klew Yeh Mori’s son entered his junior year at the University of Portland, she made an unconventional decision. Instead of continuing to pay for a dorm room or off-campus apartment, the Salt Lake City real estate agent bought a house. “I don’t have to waste money on rent anymore,” Mori was quoted in a Realtor.com report. “Now we’re collecting rental income from his roommates to help with household expenses. It’s a win-win for me.”

Mori is part of a growing cohort of parents who are purchasing properties for their college-age children to live in, viewing it as an investment strategy that can pay dividends both during and after their offspring’s academic careers. This trend has gained momentum as housing costs in many college towns have surged. Parents see an opportunity to build equity instead of paying for increasingly expensive dorms or rentals. “It’s almost certain that the demand will be there for rental properties in a college town,” Samantha Sousa, a real estate broker, said in the Realtor report. “With college towns, property values historically rise, so if parents decide to sell after a few years, they will likely benefit from the equity built.”

Advantages of the Strategy

The benefits of this strategy are numerous. Parents can potentially save on housing costs, earn rental income, and build equity. Jay Voorhees, founder of JVM Lending in Walnut Creek, California, has seen the strategy pay off. “I have seen investors make hundreds of thousands of dollars buying properties for their college-age kids to both live in and rent out to roommates,” he said. Voorhees noted that parents can access more favorable owner-occupied financing rates if their child is on the loan. “A kid does not need any income to be on the loan, but she does need decent credit,” he said.

Some parents are taking proactive steps to establish their children’s credit early. “Heejin, my wife and co-founder, established her daughter’s credit immediately after high school by getting her credit cards and adding her as an authorized user to several of our cards,” Voorhees said. “By the time she was a sophomore in college, she had sky-high credit scores.”

The long-term benefits can extend beyond the college years. Mori plans to keep the property as a rental after her son graduates. “When we sell it, Shoji and I can each pocket up to $250,000 profit without paying Uncle Sam,” she said, referring to capital gains tax exemptions on primary residences.

Educational Experience for Students

For students like Shoji, managing the property is an educational experience. “I run the household, collect the rent, and pay all the house bills out of a designated account,” he told Realtor.com. “I’m doing things like changing the garbage disposal, staining the deck, and fixing the dishwasher. This situation forced me to put on my big-boy pants and figure stuff out.”

Risks and Considerations

While this strategy offers many advantages, it’s not without risks. Parents essentially become landlords, responsible for maintenance and potential property issues. The home can also become a party house if students aren’t mature enough to handle the responsibility.

Not all markets are equally suited for this strategy. Jameson Tyler Drew, president of Anubis Properties in Whittier, California, points to Muncie, Indiana, where a house near Ball State University can be purchased for under $150,000. “After taxes and fees, this comes out to about an $860 payment with 20% down. Or you could rent the home next door for $850 a month,” Drew said. “For those who can afford it, it’s a no-brainer.”

However, the calculus is different in more expensive markets like Portland, where Mori bought. In 2022, she paid $970,000 for the property, winning a bidding war for a home initially priced at $820,000.

Conclusion

Investing in real estate for college housing offers a compelling alternative to paying rent for dorms or off-campus apartments. For parents who can afford it, this strategy can provide significant financial benefits and educational experiences for their children. However, it is important to carefully consider the responsibilities and risks involved, as well as the specific market conditions of the college town in question.

How Real Estate Investor Orchestrated a $54.7M Fraud Scheme in Michigan and Beyond

How Real Estate Investor Orchestrated a $54.7M Fraud Scheme in Michigan and Beyond 900 506 Ines

A New Jersey real estate investor, Aron Puretz, has pleaded guilty to orchestrating a scheme to defraud lenders out of over $54.7 million across multiple states, including Michigan. The fraudulent activities, which spanned from 2016 to 2022, involved the meticulous manipulation of documents and financial statements to secure multifamily and commercial mortgage loans.

Key Details of the Fraudulent Scheme

1. The Mastermind and Co-Conspirators: Aron Puretz, 53, an employee of Apex Equity Group and part-owner of several properties, collaborated with others to deceive lenders. They used falsified documents, such as inflated purchase contracts and fake financial statements, to secure loans.

2. Notable Properties Involved:

  • Maple Lawn, Eureka, Illinois: Acquired for $4.1 million in February 2017. Puretz and his associates presented a fraudulent contract for $5.8 million to the lender and Freddie Mac.
  • Big Country Chateau, Little Rock, Arkansas: Acquired in July 2019. Puretz used an associate’s identity to hide his involvement from the lender and federal agencies.
  • Troy Technology Park, Troy, Michigan: Acquired for $42.7 million in September 2020. A fraudulent contract for $70 million was presented to the lender, supported by fictitious documents, including a fake letter of intent to purchase the property for $68 million.

3. Fraudulent Transactions and Tactics: The conspirators orchestrated dual closings for transactions, one reflecting the true sale price and another inflated price. For example, a title company in Lakewood, New Jersey, conducted closings for the actual $4.1 million and the fraudulent $5.8 million prices for Maple Lawn.

4. Creation of Fictitious Entities: Part of the scheme involved creating a nonprofit entity, JPC Charities, to obtain tax-exempt status for the properties, further deceiving authorities and reducing tax liabilities.

5. Concealment of Ownership: Puretz concealed his ownership and involvement in property management from various federal and state agencies, including the Department of Housing and Urban Development.

6. Legal Proceedings: Puretz pleaded guilty to one count of conspiracy to commit wire fraud affecting a financial institution. He faces up to five years in prison, with sentencing scheduled for October 30. A federal district court judge will determine his sentence, considering the U.S. Sentencing Guidelines and other statutory factors.

Conclusion: Aron Puretz’s case highlights the extensive measures taken by some real estate investors to manipulate the system and secure fraudulent loans. This elaborate scheme underscores the importance of stringent due diligence and regulatory oversight in the real estate and financial sectors.

Choice Properties Real Estate Investment Trust Announces June 2024 Cash Distribution

Choice Properties Real Estate Investment Trust Announces June 2024 Cash Distribution 514 288 Ines

TORONTO, June 13, 2024 /BUSINESS WIRE/ — Choice Properties Real Estate Investment Trust (“Choice Properties”) (TSX: CHP.UN) is pleased to announce that its trustees have declared a cash distribution for the month of June 2024. The distribution amount is $0.063333 per trust unit, which equates to $0.76 per trust unit on an annualized basis. This distribution will be payable on July 15, 2024, to Unitholders of record at the close of business on June 28, 2024.

About Choice Properties Real Estate Investment Trust

Choice Properties is a premier Real Estate Investment Trust dedicated to creating lasting value through the ownership, operation, and development of top-tier commercial and residential properties. The Trust is committed to enhancing the quality of life for its tenants and the broader community by fostering environments where people can live, work, and connect.

Our Values and Mission

At Choice Properties, we believe that true value is derived from creating spaces that foster community and connectivity. We are committed to understanding the unique needs of our tenants and maintaining our properties to the highest standards. Our mission is to develop healthy, resilient communities, and we achieve this through our unwavering dedication to social, economic, and environmental sustainability.

Our operations are guided by a core set of values encapsulated in the principles of Care, Ownership, Respect, and Excellence. These values are at the heart of everything we do, driving our efforts to deliver exceptional value and positive impact through our real estate investments.

Understanding Real Estate Investment: A Comprehensive Guide

Understanding Real Estate Investment: A Comprehensive Guide 1260 840 Ines

When considering where to invest your money, there are numerous options available. Stocks, bonds, exchange-traded funds (ETFs), mutual funds, and real estate are all solid choices for investors at any experience level. However, options like forex or cryptocurrency may be too volatile for beginners. Your choice will depend on your desired level of involvement, initial investment capital, and risk tolerance.

The Appeal of Real Estate Investment

Buying and owning real estate is an investment strategy that can be both satisfying and lucrative. Unlike stock and bond investors, real estate owners can use leverage to purchase a property by paying a portion of the total cost upfront and financing the balance over time. This ability to leverage funds can amplify potential returns on investment, making real estate a compelling option.

Characteristics of a Good Real Estate Investment

A successful real estate investment is one with a high chance of success or return on investment (ROI). High-risk investments should offer high potential rewards to justify the risk. Even high-probability investments do not guarantee success. Therefore, you should never invest money in real estate—or any investment—if you cannot afford to lose it.

While traditional mortgages typically require a 20% to 25% down payment, in some cases, a 5% down payment is sufficient to purchase a property. This leverage allows real estate flippers and landlords to control an asset immediately upon signing the paperwork and can even enable them to take out second mortgages to acquire additional properties.

Ways to Make Money in Real Estate

Here are five primary strategies through which investors can profit from real estate:

  1. Rental Properties Owning rental properties can be an excellent opportunity for individuals with DIY renovation skills and the patience to manage tenants. These properties can be local or out-of-state. This strategy requires substantial capital for upfront maintenance and to cover periods when the property is vacant or tenants fail to pay rent.

  2. Flipping Properties Real estate flippers buy undervalued properties, renovate them, and sell them for a profit. This method can generate significant income, but it requires knowledge of the market, renovation skills, and the ability to manage construction projects.

  3. Real Estate Investment Groups (REIGs) For a more hands-off approach, investors can join REIGs. These groups purchase or build a set of apartment blocks or condos, then allow investors to buy them through the company, thereby joining the group. In exchange for finding tenants, handling maintenance, and other responsibilities, the company takes a percentage of the monthly rent.

  4. Real Estate Investment Trusts (REITs) REITs are essentially dividend-paying stocks. Investors purchase shares in these trusts, which own commercial real estate like office buildings, retail spaces, apartments, and hotels. REITs are a way to invest in real estate without owning physical properties, offering liquidity and diversification.

  5. Real Estate Crowdfunding Online platforms allow investors to pool funds to invest in real estate projects. This can provide access to deals that would otherwise be out of reach and allows for investment diversification.

Conclusion

Real estate investment offers various avenues for generating income, each with its unique set of requirements and risk profiles. Whether through rental properties, flipping houses, joining investment groups, or purchasing REITs, there are opportunities for both hands-on and hands-off investors. As with any investment, it’s crucial to thoroughly research and understand the risks involved and to invest within your financial means.

Why Young Americans Should Rethink Homeownership: Grant Cardone’s Advice and Alternative Real Estate Investment Options

Why Young Americans Should Rethink Homeownership: Grant Cardone’s Advice and Alternative Real Estate Investment Options 1512 672 Ines

For many, buying a home has been a quintessential part of the American dream, representing stability, prosperity, and success. However, real estate mogul Grant Cardone strongly advises against this notion, especially for those under 30.

The Case Against Homeownership for Young Americans

Grant Cardone, who has previously called buying a home “the worst investment people can make,” recently reiterated his stance in a post on X (formerly Twitter). He emphasized the substantial financial burden that comes with homeownership, making it an impractical goal for young adults in today’s economy.

The Financial Burden of Homeownership

According to Cardone, the average home now costs around $436,000. Although he didn’t provide a source for this figure, the U.S. Census Bureau reported a median sale price of $420,800 for houses in the first quarter of 2024. Cardone broke down the total annual outlay for homeownership to be approximately $50,000 a year, or $4,200 per month. This amount includes interest payments, property taxes, homeowners association (HOA) fees, private mortgage insurance (PMI), and maintenance costs.

Renting as a Viable Alternative

Given these costs, Cardone recommends that young people consider renting instead. He argues that renting can be significantly cheaper, with costs potentially under $2,000 per month, and it offers advantages such as no long-term commitment, no down payment, and greater mobility.

“Buying a house is no longer the ‘American dream,’” he concluded, suggesting that young adults should focus on more flexible and financially manageable living arrangements.

Alternative Ways to Invest in Real Estate

Despite his stance on homeownership, Cardone acknowledges the appeal of real estate as an investment asset. Real estate can provide income potential, act as a hedge against inflation, and diversify an investment portfolio. For those interested in real estate investment without the burden of homeownership, here are three alternative strategies:

1. Invest in Publicly-Traded REITs

Real estate investment trusts (REITs) are companies that own income-producing real estate, such as apartment buildings, shopping centers, and office towers. REITs operate like giant landlords, collecting rent from tenants and distributing at least 90% of their income to shareholders as dividends.

Investing in REITs is straightforward since many are publicly traded. Unlike buying a home, where transactions can take weeks or months, REIT shares can be bought and sold anytime during the trading day, offering high liquidity. Additionally, there are no significant upfront costs; you can invest in REITs with as much or as little money as you want.

2. Invest on a Crowdfunding Platform

Crowdfunding has revolutionized real estate investing by allowing individuals to pool their money to invest in real estate projects. Through crowdfunding platforms, investors can own a percentage of various properties, including rental properties, commercial buildings, and land parcels.

Some platforms are designed for accredited investors, requiring a net worth of over $1 million or an annual income exceeding $200,000 ($300,000 with a spouse) for the past two years. However, other platforms have lower barriers to entry, allowing investments with as little as $100.

While crowdfunding makes real estate investing more accessible, it’s crucial to understand potential drawbacks such as liquidity constraints and the lack of guaranteed income.

3. Real Estate Mutual Funds

Real estate mutual funds invest in REITs and real estate-related stocks. These funds provide diversification and professional management, making them an attractive option for those who prefer a hands-off approach to real estate investing.

Like REITs, real estate mutual funds offer liquidity since their shares can be bought and sold on the stock market. They also allow investors to benefit from real estate market trends without the need to directly manage properties.

Conclusion

Grant Cardone’s advice highlights the changing landscape of the American dream, urging young people to rethink traditional homeownership. By considering alternatives such as REITs, crowdfunding platforms, and real estate mutual funds, young investors can still benefit from the lucrative real estate market without the financial strain of owning a home.

As always, it’s essential to conduct thorough research and consider consulting with financial advisors to find the best investment strategy tailored to your goals and financial situation.

 

Commercial Real Estate Investing: A Gateway to Steady Returns

Commercial Real Estate Investing: A Gateway to Steady Returns 150 150 Ines

Commercial real estate (CRE) offers a compelling investment opportunity for individual investors seeking a blend of tangible assets, consistent income, and potential for substantial returns. Unlike residential properties, CRE investments encompass a diverse range of property types and allow for entry with relatively modest capital. Here’s a comprehensive guide to understanding and getting started in commercial real estate investing.

The Allure of Commercial Real Estate

Investing in commercial real estate means putting your money into physical buildings and the land they occupy. This tangible aspect provides a sense of security that other investment types may lack. Moreover, commercial tenants, such as businesses and organizations, often offer stable and long-term rental income, reducing the volatility often associated with residential rental properties.

Commercial real estate also opens the door to a wider array of investment opportunities compared to single-family homes or small residential properties. From multifamily apartment buildings to office spaces, retail centers, warehouses, and special-use properties like medical facilities, the options are plentiful and varied.

One of the key advantages of commercial real estate is its inherent value. The land and buildings hold intrinsic worth, ensuring that even if a particular sector, such as office spaces in the post-pandemic era, faces challenges, the underlying assets retain some level of value. This stability is a significant reason why commercial real estate makes up about 15% of institutional investment portfolios and is often recommended for individual investors at 5% to 15% of their overall portfolio .

Expected Returns and Investment Vehicles

Commercial real estate can be a steady performer, offering returns that balance out more volatile investments like growth stocks. On average, Real Estate Investment Trusts (REITs) yield around 11% annually, while private REITs might return about 8% per year. Direct ownership or private partnerships in commercial properties may yield closer to 6% due to additional costs, although tax advantages could help offset these expenses .

REITs: A Gateway to Commercial Real Estate

REITs are a popular way for individual investors to gain exposure to commercial real estate. These trusts own and manage large portfolios of properties, and their shares can be bought and sold like any other stock. This makes them an accessible and liquid option for investors.

Publicly Traded REITs: These REITs are listed on stock exchanges, offering easy entry and exit points for investors. The minimum investment is typically the cost of a single share, and they are available through major investment platforms .

Specialty REITs: These focus on specific sectors, such as healthcare, retail, or data centers, allowing investors to capitalize on growth trends in particular areas of the market .

Public Non-Listed REITs: Registered with the SEC but not traded on stock exchanges, these REITs often require a higher initial investment, usually between $1,000 and $2,500 .

Direct Investment and Private Partnerships

For those with more capital and a desire for direct involvement, owning a commercial property or entering a private partnership can be appealing. This approach requires assembling a team of professionals, including accountants, lawyers, and possibly property managers, to handle the complexities of property management and maximize returns.

As a direct owner, you will be responsible for managing tenants, maintenance, insurance, and taxes, which can impact your net returns. Alternatively, hiring a property manager can help you avoid the day-to-day responsibilities while still enjoying the benefits of ownership .

Strategic Investment Approaches

Large REITs often operate on a revolving basis, continually acquiring new properties and selling older ones to capture gains and maintain a flow of rental income for investors. This continuous turnover provides a dynamic and potentially profitable investment environment for those looking to dip in and out of the market.

For investors with a long-term perspective, private REITs can be an attractive option. These funds generally offer regular dividends and are less liquid than their publicly traded counterparts, making them suitable for those willing to commit their money for extended periods .

1031 Exchange: This strategy allows investors to defer capital gains taxes by reinvesting the proceeds from a sold property into a new one. This tax deferral can help build wealth over time, but it requires careful planning and consultation with tax professionals to maximize benefits and minimize liabilities .

Is Commercial Real Estate Right for You?

Before diving into commercial real estate, it’s crucial to solidify your financial foundation, such as contributing to an employer-sponsored 401(k) and building a diversified portfolio. CRE investments can complement other holdings by providing a steady income stream and acting as a hedge against more volatile assets.

To get started, familiarize yourself with the terminology and workings of the commercial real estate market. Reading REIT prospectuses, tracking industry trends, and seeking advice from financial advisors can help you make informed decisions and determine if CRE aligns with your investment goals .

Commercial real estate offers a unique combination of stability, potential returns, and diversification benefits. Whether through REITs or direct ownership, it provides various paths for investors to explore and capitalize on the long-term advantages of this tangible asset class.


This guide provides an overview of commercial real estate investing, highlighting its potential benefits, various investment vehicles, and strategies for success. Whether you’re looking for steady income or a way to diversify your portfolio, CRE could be a valuable addition to your investment strategy.

5 Key Factors to Consider When Investing in Real Estate

5 Key Factors to Consider When Investing in Real Estate 1370 700 Ines

By Sean Bryant for GOBankingRates

June 02, 2024 — 10:00 am EDT

Investing in real estate can be a lucrative venture, but it requires careful consideration and planning. Whether you’re looking to purchase a single-family rental, a duplex for house hacking, or a commercial property, here are five crucial factors to keep in mind to ensure a successful investment.

1. Location of the Property

The adage “location, location, location” holds true in real estate. Properties situated near shops, restaurants, amenities, green spaces, scenic views, and good school districts generally appreciate in value. It’s essential to consider both the current and future potential of a location. Investigate mid- and long-term development plans in the area, as these can significantly impact property values.

Ryan Barone, founder and CEO of RentRedi, advises investors to understand their target demographics and the amenities that would appeal to them. “Families with young children will likely value good schools and nearby parks and sports facilities, whereas retirees might enjoy a more serene setting on or close to a golf course.”

2. Valuation of the Property

Knowing the property’s valuation is critical. This not only influences the financing process but also impacts insurance costs and investment analysis. The most common valuation method is the sales comparison approach, which assesses the property’s value based on recent comparable sales in the area.

3. Overall Real Estate Market

The real estate market can be highly volatile, and understanding its current state is vital. Market trends, including home sales, foreclosures, property inventory, and unemployment rates, can all affect the success of your investment. Timing the market correctly can have a significant impact on profitability, as seen with fluctuating interest rates over the past few years.

4. New Construction vs. Existing Property

Deciding between new construction and existing properties is a significant choice. New construction allows for customization and modern amenities but can be more expensive with uncertain future values. Conversely, existing properties, especially those needing renovations, often present better profit opportunities.

Jared Blumberg, co-founder of the Blumberg Werner Group at Compass New York City, emphasizes that renovation projects can yield substantial returns. “You want to find projects where you can improve the layouts and the aesthetics of the kitchen, bathrooms, etc. Buyers are willing to pay two to three times the cost of doing renovation work.”

5. Expected Cash Flows

Assessing expected cash flows and profit opportunities is essential for any investment property. Positive cash flow is necessary to cover monthly expenses and ensure long-term profitability. Conducting a thorough financial analysis to evaluate affordability, potential rental income, and return on investment is crucial.

Barone highlights the importance of budgeting for unexpected expenses such as property taxes, maintenance costs, and potential vacancies. “By evaluating factors like rent prices and vacancy rates, you can estimate the rental yield — how much income your property is likely to generate over the course of a year as a percentage of its value — to determine the profitability of the investment.”

Conclusion

Investing in real estate requires a strategic approach and careful evaluation of various factors. By considering the property’s location, valuation, market conditions, type of property, and expected cash flows, you can make informed decisions that enhance your chances of success in the real estate market

Barbara Corcoran’s Top Real Estate Advice: Look Beyond Florida for Affordable Homes

Barbara Corcoran’s Top Real Estate Advice: Look Beyond Florida for Affordable Homes 150 150 Ines

If you’re on the hunt for affordable real estate and a lower cost of living, renowned real estate mogul Barbara Corcoran has some surprising advice: steer clear of Florida and look elsewhere. Speaking recently on “Elvis Duran and the Morning Show,” Corcoran shared her insights on navigating the current housing market and finding the best value for your money.

Why Florida Might Not Be the Best Choice Anymore

During the COVID-19 pandemic, Florida experienced a massive real estate boom as people flocked to the Sunshine State. This trend has continued, causing property prices to soar and making it increasingly difficult for new buyers to find affordable homes. As a result, Corcoran suggests considering other regions for better housing value.

Where to Look for Affordable Homes

Corcoran’s advice is straightforward: seek out areas with poor school districts if you don’t plan on raising children there. These regions often have significantly lower property prices. “Go anywhere in the South, other than the hot spots,” she recommended. According to Corcoran, there’s always a cheap house to buy if you know where to look.

The Legitimacy of Low-Priced Overseas Properties

Co-host Medha Gandhi inquired about the seemingly too-good-to-be-true deals on homes in tiny Italian villages, often sold at extremely low prices with the condition of renovation. Corcoran assured listeners that these offers are legitimate, having personally inspected such properties. However, she cautioned that the major drawback is the lack of population in these towns. “The problem is nobody lives in these towns. Why would you want to go to Italy to live by yourself?” she questioned.

Timing the Market: When is the Best Time to Buy a Home?

Throughout her career, Corcoran has consistently maintained that it’s always a good time to buy a home. She reiterated this belief on the show, emphasizing the importance of entering the market as soon as possible. “It’s always a good time [to buy],” she stated. Corcoran encourages potential buyers to view home buying as more than just an investment. “You are not buying an investment only, you are buying a home to raise your kids in, to have good times, to cook in your kitchen. You want to get in the market.”

Conclusion

Barbara Corcoran’s advice offers a refreshing perspective on finding affordable real estate in a market that continues to heat up. By looking beyond popular hotspots like Florida and considering less sought-after regions, buyers can still find great value. Moreover, her reminder that buying a home is about creating a place to live and make memories, not just an investment, is a valuable takeaway for anyone considering entering the real estate market.

#RealEstate #AffordableHousing #BarbaraCorcoran #HomeBuying #Investment #HousingMarket #PropertyInvestment #RealEstateAdvice #ElvisDuranShow #GOBankingRates

 

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