There is a flourishing market of real estate all across the world. More and more are looking for homes, office spaces and areas to run business from. This is a good market if you want to invest in something, as there is always a guaranteed return profit. Moreover, the real estate market rarely flunks, so there are lesser chances of you facing a loss.
Michigan is one of the most sought after locations in the USA, due to its cheap land and beautiful view. If you are planning on buying some property, then this could be your chance. You would also require some guidance and assistance in selecting the best option. You can search for some of the best real estate agents in Michigan here.
If you have decided to invest in Michigan real estate, then there are a few things that you should know. It is a big market with plenty of gorgeous options available. The following list would help you filter it out and choose the best property:
Try To Find Undervalued Homes
These are the properties that have been neglected and forgotten over the course of time by their respective owners and caretakers. These could be bought off easily, and would require a good amount of renovation. However, upon renovating these properties, they can fetch you a hefty amount of profit, as these can be sold at a much higher price than what you actually paid for.
The very first thing in this would be finding these locations, as they are usually not on the market. Luckily, there are many software now which can actually help you find a property that is abandoned by its owner and is not up in the market, but the owner would like to sell it. Or you can take the help from the local estate agents, as they also have a well depth knowledge about these.
Look For The Owner
Finding an agent to help you make the right investments is a good option, but, if possible, then you should try to find the owners first. Properties which are being sold by the owners themselves have a better and cheaper deal than the ones being marketed by an agent. Additionally, these properties would be sold off much more quickly and you would get the acquisition sooner than expected. Technology would help you here as well, as there are apps and software now which can locate the properties being sold by the owners themselves, and also alert you if the property in question is owned by any bank at that time.
Buy And hold Your Property
Buying and holding the property is quite self explanatory, as it requires you to not sell off the property for a longer period of time. This is done to minimize the losses that may incur from the current situation of the market, and the country as a whole. Michigan is seeing a gradual increase in its footfall and population for some time now. This means that you would not have to hold your property for a much longer time. You can also rent it out in the meanwhile, and when you meet the suitable and potential buyer, you may as well just sell it off for a good margin of profits.
You can make money through rental inflows. Rent prices are going up every year now. It would be a better idea to simply invest some money and set that property up for rent. The regular inflow of cash would help you cover for the investment money and give you a steady profit margin every year, which is what you want to see in a business.
Property appreciation in Michigan is 14% right now. This is huge, considering all the extrinsic and internal factors involved. The population of the city is also on the increase, meaning more and more people are in need of a decent place to stay. This could be yours if you seize the opportunity and play your cards right.
Real Estate Investment Trusts
These trusts and funds are for the people who want to get some investment done in the real estate market, but are a little hesitant to put their money in it. This way, you would earn the profit, without the hassle of owning or managing a property. These trusts are valid and legal in The States and therefore, can be used for investment purposes in Michigan.
Some Best Places To Invest In Michigan
Located on the scenic banks of Lake Macatawa, Holland is one of the best places to invest in the real estate market in Michigan. On an average, homes are sold off within 6 days of them going on sale in the market, making it one of the heavens for investors.
2. Ann Arbor
Home to the Michigan Stadium, Ann Arbor attracts many people in July due to its scenic beauty and festivities. Additionally, Michigan University is also situated here, thus, it becomes one of the most hot places to invest in.
A Few Cons Of Michigan As Well
1. Harsh Weather
Michigan gets a clear demarcation between all its four seasons. However, it is also notorious for its harsh and spine chilling winters, which make the place not so suitable for the elderly.
2. Areas To Improve
Just like every other place on the planet, Michigan too is not perfect in any sense. There are a lot of areas where the city can improve and make the quality of lives of residents and tourists better.
3. Higher Property Tax
The city is known for its above average property tax, which makes it a bit expensive. But the other things are cheaper as compared to other states and cities, such as sales or income taxes, which are the lowest in the country.
Investing in anything is a good habit that would give you guaranteed profits, if you are patient enough. Investing in the real estate market would be a good choice, as the properties usually stay in the market for a short amount of time, and you can decide when you want to sell it back off, as the prices tend to go up usually.