Investing in Bronx neighborhoods of Morris heights and Fieldstone, and the central Brooklyn real estate is a trend because of the good returns it offers. On the other hand, in 2020 Long Island has also joined the league as a good charm for buying, renovating, and selling investment houses.
Today, the home to more than 60 vineyards offers good returns and growth per year compared to other real estate markets in New York State.
Surprisingly, when the market economy was almost blown up, the real estate market of Long Island did not regress. Additionally, the Long Island Real Estate Agents showed an amazing rebound post-Covid 19.
Throughout the pandemic, the market remained hot, and as compared to 2019, there was significant growth in the sales and the prices in October 2020.
Between September to October, the sales prices increased much higher than in 2019 unexpectedly. In the One-key multiple listing service, the median sale price climbed at least 12% ranging between $15,000 to $545,00 compared to $485,000 property price. The number of house sales increased from 3,755 houses sold in September to 4,261 houses sold in October during the rebound trend.
According to the expert perspective, the reason for the sudden growth in the real estate market was Covid19 lockdown at the beginning of the year. Since March, people had to push forward their plans of purchasing the house, and once the lockdown was eased, the demand increased.
The increase in property demands at Long Island is the perfect opportunity for real estate investors to purchase, renovate, and resell the house as the prices keep on climbing.
After the 2012 sandy hurricane, several properties did not recover from the financial losses, and the market regressed till 2016. However, as a property investor, you can still invest in the properties proceeding below the market value for better returns.
Over the last several years the New York City has faced several housing crises and hurricane Sandy disasters. As the city’s suburb recovers from the crises, people turned towards investing in the Long Island real estate property. Since 2016, median closing percentages have increased to 7.32% overall on Long Island properties.
Real Estate agents specialize in aggregating data about the available properties on the market. The agents are responsible for pulling the data from official and other sources. The data includes distressed properties priced less than the market value, correct square foot, past listings, sales, and tax histories.
The difference between an online listing website and real agency information is the accuracy. On the free published list, you can find property priced below the market value. However, there is no guarantee of condition and house measurements, since the data is gathered from several sources, including unverified ones.
Damaged properties are particularly charming to real estate investors. The total cost investors bear for purchasing and renovating the damaged property is less than the return they get on reselling a newly built property. Suppose you are particularly interested in the distressed property below the market value. In that case, reaching out to the owner may not be the best option, significantly if the property is damaged due to natural disasters such as the Sandy hurricane.
Several individuals practice “pounding the pavement”, a term used to describe an idea that in-person interaction gives you a better chance of building rapport and convincing the homeowner to sell the house. However, not every homeowner resides at the damaged property or appreciates random strangers making an offer for the home.
Real estate agents’ property listing sources are authentic, and the listing includes damaged residence homeowners who actually want to sell the house, saving you from the awkward interaction and embarrassment.
The real estate agent can get you better deals for the investment because they have a hold on house information foreclosed on by the bank. After the 2012 real estate crises in New York, several homeowners fell behind on their mortgage payments, and the property was enclosed by lenders, credit unions as well as banks. Several other reasons for property enclosure include prolonged illness, job loss, and even divorce.
Foreclosed houses are often listed on the lender’s website or the MLSLI, however, the agents have an extended list and can guide you about the property value.
Some other aspects of enclosed properties include bidding, procurement title insurance, review of documents, and conditions.
The downside of enclosed properties is that you may not get a chance to inspect the house condition as you do for regular purchases. You won’t receive a full house inspection report, and since the mortgage was not paid, you can reasonably expect that the renovations were not done.
As far as the bidding is concerned, they occur on-site, at the courthouse, or online through lenders. A real estate agent will inspect the property, inform you about the pros and cons, and bid an estimate on your behalf. Basically, throughout the process of investing a real estate agent find you gems in the mine of coal.