Making money when you first purchase a home is tricky business. The only way to be sure of making money when you buy is to know for certain what the current market value is. Everybody has an Opinion of Value of a property. Opinion Of Value is all you really get from Realtors and Bank Appraisers. The Value of a Home is their Best Guess based on historical data in the case of Bank Appraisers. Realtors add current Supply and Demand and tend to be a bit more accurate. At the end of the day, the value is what a willing buyer is prepared to pay and a seller is ready to accept.
So How Do You Make Money Buying a Home? You become a market expert by shopping for a home with a Tech Savvy Realtor that will guide you through the process of gathering and interpreting the information. It won’t take long before you can spot an under market property with a quick glance.
What other tips are there for buying under market properties? The first thing you learn to spot is the difference between people that “Have To Sell” and people that “Want to Sell”. Far too many people still put a home on the market to “Test the Waters”. Testing the Water is a failing strategy as almost all of these homes are overpriced and expire unsold. These homes are easy to spot because there are no signs of moving. No packing boxes is a dead giveaway. People that have to sell are just as easy to spot and that is where you will have the best chance to buy under market value. But only if you have a great Realtor that can help you determine fair market value.
My goal when working with buyers is to help them find the right home and hopefully make money when buying. It’s a nice feeling to know that you’ve already made money the day you get the keys to your new home.