If you are looking to buy an investment property or you want to buy a home that will appreciate really well over time, then you may have heard of the benefits of buying in an “up and coming” neighborhood.
Neighborhoods that are slowly being developed and in the process of becoming more attractive to individuals with high paying jobs and middle-class and upper middle-class young families are considered as up and coming and growing fast.
As more and more corporations and businesses flock to an area the city invests in more beautification and clean up projects, which leads to more people wanting to live there and also more businesses wanting to set up shop there. This in turn starts to increase property and rental prices.
Investing early on in an up and coming area almost guarantees a big profit since the investment property will go up in value over time with very little effort or development expenses from the property owner.
Experienced investors and real estate agents (www.aminvali.com) are pretty good at finding these neighborhoods and maximizing their benefits from it. Realtors and real estate agents tend to have their finger on the pulse and recognize the trends pretty quickly.
As a current or future real estate investor knowing how and when to identify an up and coming neighborhood is important. You need to look at the neighborhood data online for the future projections. You also can look into how long properties in the area are staying on the market before they are sold. If the time period is getting smaller over time, meaning if compared to 6 months ago properties are now selling twice as quickly, this is a good indicator. A real estate agent (www.aminvali.com) can be very helpful with this kind of research.
You can also see if the artist community in the area is slowly starting to grow. An affordable area can initially be attractive to struggling artists, however, over time these artists can cause the neighborhood to seem more appealing as they attract more artists.
Another indicator is if the area is currently “cheap” but has a lot of historic architecture and empty warehouses and factories that can be turned into apartments or flats. Fixing the insides of old architectural structures and abandoned buildings has a huge trend for up and coming neighborhoods.
Another easy way to recognize a potentially good neighborhood for investments is to search for the crime information. If the crime rate is on a steady decline, the neighborhood is being developed over time. Public transport is also a good indicator, if the public transport is relatively accessible/reliable this will help the area become an up and coming area.
You can also find neighborhoods that have “boomed” recently and see what areas close to them are still run down and seem neglected, chances are with some research you’ll see that those areas are next due to their proximity.
If you have patience, good instincts and a good real estate agent, you can get in early, buy cheap and watch your investment and your rental income grow exponentially over time.
Civil Engineer, MBA, Real Estate Agent
Cell phone: +1 (949)220-1000
Phone : +1(310)925-3878
Web : http://www.aminvali.com
E-mail : email@example.com
Realtor in Zutila Inc.