Investors! Now is the time to buy rehab, distress and fire sale property in the Richmond, Mechanicsville/Hanover and surrounding localities. For several reasons, not the least of which is the product of our current real estate market in Richmond, Virginia and the surrounding counties of Hanover, King William, Henrico, Chesterfield Powhatan Caroline and others, many sellers are getting anxious to move their property. In many instances, there exists a domino effect. If the seller can’t move their existing residence, then they won’t be able to purchase the property that they currently have under contract. You may not have to settle for property that needs quite a lot of work. For the same price per square foot that you are accustomed to paying for distress property, you may find that “desperate” seller ready to “move on”. Your portfolio should consist of some rehab and flip properties as well as some buy low and keep properties. In this way, you can flip properties to obtain much needed liquid cash while at the same time holding on to your investment. Some investors choose to refinance and cash out their holdings every three years. This too, gives you liquid cash while continuing to own the property. In doing this, the investor is counting on the appreciation rate to remain steady over the long haul. If you do purchase with the intent of rehabbing and flipping, spend your money wisely. Doing little things can pay big dividends! One little tip – spend money on polishing placing knobs on cabinets. Most of you savvy investors already know and for those of you just getting started you must buy when the market is down (like now) and you must diversify your holdings. (some that need minor cosmetic help, some properties that need major structural repair, and some that are just great buys that you can rent) For those of you reading this that are just starting to “dabble” in this arena – congratulations! After you have done a few, consider taking the next step and get your real estate license to take full advantage of all benefits available with investment property. Visit my blog to read about what you should be looking for in a real estate company. Thanks for reading this article. If I can help in any way, please do not hesitate to call me Kathy Holland at Resource Realty Services (804)559-5990.
Compliments of: Kathy Holland, Broker/Owner
