Begin with the End in Mind Part 2

We know this is the best time to be a real estate investor. Credit is tight and prices are low. In addition, the first-time homebuyer niche is one that that is not susceptible to the whims of the economy.  In other words, there will ALWAYS be a ready supply of buyers who want to "fire their landlord" and a home of their own.  

I specialize in helping my investors resell their properties by working with first-time buyers who have had some sort of credit challenge (including bankruptcy) find, qualify for, and own a home. The metro Detroit real estate market is HOT and provides an incredible opportunity for investors to significantly build their wealth. Having said that however, investors need to be wise as to where they choose to purchase. Or put another way, just because you can purchase a home in metro Detroit for $_______ doesn't mean you should.  It is important that you choose to purchase in stable working class neighborhoods or "aspirational" historic neighborhoods where working people feel comfortable living.  These types of neighborhoods make it easier to fill your property quickly with clients who are ready, willing and able to pay you ON TIME. The number one rule in real estate is "location, location, location" and therefore it is important to use caution in purchasing a property just because it is an incredible deal in terms of price. Beginning with the end in mind in this sense means asking yourself or your agent "is this property located in an area where working people aspire to live or at least feel comfortable? Is it a neighborhood that people are generally attracted to?"  Asking these questions will help you position yourself to be successful because purchasing in certain areas can be an invitation to DRAMA.  Location is paramount and foundational but it is not the end point.  In Part 3, I will discuss the best strategies for screening your would-be tenant buyers.