As I have highlighted in the two prior blog posts, owning investments in real estate makes sense on many fronts! And if you agree, your next question might be this, “So where do I find good investment properties?” There are many avenues of finding such properties and we will highlight them here. First off, we have great Realtor partners who don’t just understand real estate, they understand investment real estate. There are currently just short of 6,000 properties for sale in the Denver area and many of these are homes looking for an investor. I am told by our Realtor partners that most of the inventory lingering on the market for any length of time is in “pretty rough shape” and that bodes well for investors. Here’s why! Properties in that condition can be purchased for below-market values and many of them just need cosmetic fixes such as new carpet and fresh paint. For example, one home sold recently for about $20,000 under market value and it only needed $5,000 of carpet and paint. That new investor just made a really good $15,000 decision! Secondly, investors are still buying foreclosed properties at auctions that are held by each county. As you might imagine, auction-related inventory is lower relative to when foreclosure activity was peaking here in Colorado 5-6 years ago. But investors are still finding good deals at each week’s county auction.
Owning Rental Property Makes Sense on Many Fronts!
Furthermore, there are real estate wholesalers in the marketplace that buy homes directly from owners, fix them up, and then sell them back out as investment properties. There is still good deal flow on that front as well. Lastly, you may hear of good deals in the natural course of your day and here’s why. Unfortunately, divorce happens. Death happens. People have to move in a hurry in order to take a new job promotion. As these life events transpire amongst people you know, you will often find a seller wanting or needing to sell . . . in a hurry! When this happens, you may have a great real estate investment opportunity present itself directly to you, and perhaps only to you, which is even better! And if it does, you might have the perfect opportunity to buy a great investment property at the perfect price with no competition.
