Actually, Hoosier investors have been finding homes all around the state to turn around for a good profit. They may need to hold the homes for a few years and find renters in order to make the best deals down the road but nonetheless, investing has been a viable money-making venture for those interested in Indianapolis home for sale. Many even have their Indianapolis REALTOR® set them up with automatic notifications so that they can jump on properties the second they are listed for sale.
Some investors want to go outside their local market, however, to broaden their inventory. Currently where are the best real estate investments outside Indiana?
Statistics seem to show that hands down some of the best real estate investments available are in the condo market. In the hot period of condo development between 1996 and 2007, there was an increase of nearly 400% in the construction of condos. With an inventory of six months being a good goal and cities like Seattle, Minneapolis and Boston seeing a huge backlog of condos to sell at as high as three years, there are areas of the country where you can have your pick in the condo market.
Reports are showing that the most prime opportunities for great deals are in the luxury condo market which are outside the conforming $729,000 loan limits for Fannie Mae, Freddie Mac and the Federal Housing Authority.
Two other areas for the best real estate investments for condos in this sector are located in California and Florida. It’s no wonder why these areas were a hotbed of development because of their ideal weather and beautiful scenery. However, when the economy downturned, these features ceased to bring in the dollar they once did and Americans just simply didn’t have the disposable income to invest in these types of properties.
Areas in California that boast the best opportunities for investment are in Lake Tahoe, Olympic Village and Tahoe City. In Florida, investors are finding incredible opportunities for deals in Bal Harbour, Key Biscayne and Fisher Island.
Before out market downturn, builders found the luxury market to pay off well. Construction for condos can be more quickly and easily completed because of their high-rise nature and they found that buyers were certainly willing to fork out the payments necessary to secure a downtown city location or beachfront view.
Also because they tend to be simpler to build, they tend to be more elastic where construction and pricing move up fast in a good market and just as fast the other direction when the market is bad.
According the the National Association of Home Builders, even when the building of single-family units began to level off in 2005, the building of condos continued on. Because of the backlog this created since then and sales continuing to be down, even though slowing down, developers are stuck in a quandry of selling for whatever price they can get or holding on a little longer.
Even with such financial power that banks and developers hold, they can hold out for only so long. Eventually, there will most likely need to be a drastic cut in pricing to move these units, which is where investors will get their best deals. Those searching the markets now are finding that to be the case in metropolitan sectors with hefty development of luxury condos.
If your financial situation allows, the luxury condo market is one of the best areas to investigate for investment.