3 Tips for Locating Promising Investment Properties

Investment Properties

Sean Perkin shares three tips for uncovering promising investment properties.

Sean Perkin is the owner of Sean Perkin & Associates, a real estate investment firm that has syndicates multifamily and single family investments throughout the Los Angeles area. He cautions that real estate investing is not easy; it requires discipline and timing. Location impacts the value and investment potential for a property in many ways. Here are three tips new real estate investors can use to uncover promising investment properties in their area:

Evaluate the Neighborhood

Location plays a major role in building a property’s value, with neighborhood in particular having a major influence on the property’s valuation. Neighborhood isn’t an element that investors can control once they’ve purchased a home, so it’s best to keep this in mind before making a purchase. For this reason, many investors recommend aiming for undervalued, dated, and obsolete homes in up and coming neighborhood rather than targeting the best looking house in a subpar neighborhood. The worst looking house in a good neighborhood will ultimately offer more upside. Remember, “location, location, location.”

Consider Nearby Amenities

An extension of the location where a property is located is what’s near the property. Homes near a noisy highway, landfill, or factory are less desirable than homes along the ocean or near a lake. First-time investors would be wise to avoid amenities that will cause the house to sit on the market for an extended period of time. Keep it simple, avoid hillsides, winding roads, busy streets, properties near commercial areas, flight paths and other “elements” that will limit the buying pool. Remember, “keep it simple, cater to families and don’t go overboard on the renovation.”

Pay Attention to School Districts

With so many property flips being sold to families and young professionals planning to start a family, a bad school district can be a deal breaker. As mentioned above when discussing neighborhoods, a house that needs work but is located in a strong school district offers more growth potential than a nice looking property in a school district with a lesser reputation.

Have questions about real estate investment? Reach out to Sean Perkin today to discuss the investment process, gain a better understanding of the potential for success, and develop a plan for minimizing potential losses.

Learn more about Sean Perkin on his VisualCV profile, or by viewing his Expertfile: www.expertfile.com/experts/sean.perkin

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