How do I know if the home I'm interested in is a good investment?
by Rosie Bolin, Realtor
Because a home is the largest investment many people make, this question is at the forefront of many buyer's minds. While there's no way to guarantee that any property's value will increase, there are several key factors to look for to help your odds.
- Location, location, location: Obviously, all locations do not appreciate at the same rate. Have your real estate agent look into recent sales in the neighborhood to give you an overview.
- Functionality: How does this property compare with others in the same general location? If all of the others have three full baths, and your property only has one, that could be a problem. For the best data, have your agent compare your property with otheres that have recently sold.
- Price: This is crucial, but achingly tricky. Price per square foot, condition, functionality, location, and "feel" of the property all need to be factored into value. Your agent can help you sort out all of these details and come up with a fair value, and "reasonable" guess at future potential. But bear in mind, the asking price is just that - the asking price. The value is determined by the market.
Rosie Bolin is licensed by the North Carolina Board of Realtors, and is an associate with Fonville Morisey. If you have a real estate question for Rosie, please email her at rbolin@fmrealty.com.
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