The old saying, “location, location, location,” still stands as Rule No. 1 when looking into a real estate investment.
There may be temptation to choose a well-maintained, modern home in a less desirable location over a major fixer-upper in a better area. However, you must remember the interior and exterior can be altered. You can’t lift up a property and relocate it.
Rule No. 1 When Investing in Property
Location has been and will remain Rule No. 1 when investing in property. Why? Because that’s the first thing your buyer is going to look at.
Is the home in a desirable neighborhood? What are nearby real estate values? Is it close to work or new jobs? Where are the parks, the school and shopping?
Three Key Location Factors When Investing in Property:
- Location in terms of surroundings and conveniences
- Location and current property values
- Location as a factor in investment goals
It’s important to examine the location when looking at a real estate property investment, whether planning to rent or flip and fix. Catalyst Funding sees a good rule of thumb as: high-end neighborhoods are better for flipping and low-end neighborhoods are better for rentals. Find out more on how to decide whether to flip or rent here.