Is It Wise To Buy A Bad House In A Great Neighborhood?
Posted on: 24 October 2019
Some people strongly believe that one of the best investments you can make is buying a bad house in a good neighborhood. While this can be a good idea, it is important to understand why this is a good idea and what to look for in the house that you end up buying.
The theory behind this
Buying a bad house in a great neighborhood is something people do to make a big profit on the house they buy, and the theory behind this is that if you buy the worst house and fix it up completely, it will be worth a lot of money, simply because it is located in a great neighborhood. For a neighborhood to be considered a great neighborhood, the community must be nice and safe. The homes there must be in great condition and have great values and prices. It should be an area that people desire living in, and it should be a place with good local schools. If you buy a house that needs a lot of work in an area like this, it should be worth the same amount as the other homes are worth in this same area, and that is the basic principle behind this theory.
What to look for in a house
If this is something that interests you, the top two things you should look for is a great community and a house that is free of major problems. The house you find should need a lot of work, but the work should not be structural types of work. You should make sure that you choose a house that mainly needs facial work, such as new floors, siding, and bathrooms.
The risks of doing this
There are risks with buying homes like this that you should know about before you begin looking for one. One risk is that you will discover that the house has more issues than you originally thought, and this could end up costing you a lot more money than you had planned for. The second risk is that the house might not end up being worth as much as other homes in the same neighborhood, and this means you might not be able to make as much from the project.
If you are still interested in buying the worst house you can find in a great neighborhood, talk to a real estate agent. An agent can help you learn more about local areas, neighborhoods, and homes for sale. If you have any questions about this, call a local agent today.Share