Bristol Bank Owned Foreclosures – Important Tips on Buying Your First Foreclosed Property in Bristol
Bristol Bank Owned Foreclosures – Important Tips on Buying Your First Foreclosed Property in Bristol by Real Estate & Investing Expert Jon Sigler.
Buying foreclosed properties is getting more popular and more profitable every day. There are dozens of foreclosed properties hitting the Bristol area market every day. These properties can be both gold mines and land mines. In this article, we’ll go over several simple tips to help ensure that your first foreclosure purchase is a successful one.
Opt for a Low-Repair Property for Your First Deal
We’ve all heard about people who made tens of thousands of dollars buying fixer foreclosures and fixing them. The reality is, however, that doing so requires a high degree of expertise.
Do you know how to fix a broken roof? Can you accurately estimate how much it would cost to replace an entire shed? Can you estimate how much the repairs will cost and compare it to your selling price in the end?
Although you can make a lot of money doing fixers in Bristol, you can also make a lot of money just by buying foreclosed properties, doing just minor cosmetic repairs and selling them again. For your first foreclosure deal, look for houses that don’t require much work so you can get some experience under your belt.
Research the Markets Surrounding the Bristol Real Estate Market
There are generally three reasons you’d buy a foreclosure in Bristol: To rent out, to sell or to live in. If you’re buying to repair and rent out or sell, then market research is absolutely essential.
If you’re buying to rent, it’s important to know what other properties in the Bristol area real estate area are renting for. It’s also important to know what the vacancy rates are. Based on these numbers, you can accurately predict what your cash-flow will be like.
If you’re buying to sell, it’s important to know what you can expect to sell your property for once your repairs are completed.
You should know these numbers before you make your purchase. Remember that with any real estate investment in Bristol, the profit is made on the buy end, not the sell end. You must know how much your property is worth or how much you can rent it out for before you can make a profitable investment.
These tips will help you avoid some of the biggest pitfalls beginning investors tend to fall into with their first investments. Foreclosures can be a very lucrative business, but it also has its dangers.
There is a lot of free information available to you about buying, selling or investing in Bristol real estate. For complete information about the Bristol real estate market including current homes for sale, property values and mortgage options specially for foreclosures please feel free to contact me on my cell at 860-306-8029 or email me at jsigler@franklinamerican.com.
