Well, today's blurb is, believe it or don't, about a segment of the real estate market that many have believed was dead, or, if not dead, then on serious life support. That segment is investment property. This is going in two directions, just as it had a few years back. One direction is buying and holding properties as rentals with the idea of letting them appreciate over a number of years before selling and moving on the the next one. As a Realtor, I am actually hearing from a small, but vocal number of buyers inquiring about buying such properties, their interest stimulated by the huge drop in the prices of such properties over the past 2-3 years. For folks who are still employed and have cash, or want to cash out an existing property and maximize the potential gains from this supply of cash, a careful acquisition may be the best investment you ever made. We can definitely help if this is your interest.
I said there were two directions investors were looking in. The second one is the traditional one of 'flipping' properties. This is beginning to be seen again in certain areas and price ranges. Unlike the early years of the decade, you have to use far more caution because the huge rapid gains just are not there for a flip. However, in the case of buying something that is well below market due to financial reasons ( foreclosure or short sale) that has good bones, there definitely are opportunities to be had. Keep in mind that lenders are much tougher on the financing for these acquisitions, so you have to really be very solid credit-wise. However, a cheap purchase, some basic cosmetics or small remodels, and you could make a nice profit. Be VERY CAREFUL, THOUGH! THERE STILL ARE NOT AS MANY BUYERS AS THERE WERE 2-3 YEARS AGO. So selling your flip may take longer than you expect and you'll have to carry it in the meantime. Make doubly sure you can afford it. Good luck!