2020 has been a year that no one presently alive will ever forget due to the current COVID-19 pandemic that has plagued the world. Everything has been affected, and nothing is ever going to be the same after COVID-19.
Different sectors have suffered significant losses, while some industries have had an influx in profit as a result of COVID-19. For real estate, the situation is not black or white but gray. The current crisis has favored some property investors but has created problems for others. If you wish to invest in real estate at this time, here are some tips you can apply so you do not incur losses.
If you are new to real estate investment and you want to start during this pandemic, then you need an agent. Real estate agents are skilled in terms of how to connect buyers to sellers, and they have lots of access and connections to plenty of resources. They know how to reach and set up a meeting with the right set of people without having to meet physically. Working with an agent is faster and safer, especially in a period like this.
A Real Estate Agent With a Difference
Max Melnikov is a realtor in Houston who has the proper connections and access to lots of resources to help you invest in real estate. His goal is to help people effortlessly invest in the real estate of their dreams.
Consider Markets That Have Seen a Major Decline in Property Prices
As a real estate investor in this pandemic, it is advisable to look for rental properties in locations that are experiencing the highest drop in home values. This is because buying cheap real estate means that all other payments are lower, including property tax, home insurance, and monthly mortgage payments. This, in turn, increases the return rate of the property. Also, markets that are at the lowest now will later experience a very high appreciation rate when things are back to normal.
Photo by Matt Pritchard on Unsplash
Look Through Listing Websites
Due to the severity of the pandemic, many people have become desperate, so do not focus on properties with a “For Sale” sign. It is not advisable to attend open houses or to go to property showings. Besides the fact that social distance is the safest option at this time, those properties may not be everything you want, but you may not realize that until after you have bought it.
The safest option now is to search real estate websites for listings that match your requirements. There are several real estate investment websites that have a list of properties up for sale or rental. These websites also provide you with the needed information and data in real estate so you can carefully make your choice.
Small Town Investment
As a result of the current pandemic, real estate investment is best made in small, isolated towns. This is because research has proved that COVID-19 has affected small towns the least when compared to major cities. Investing in small cities is currently safer, and the impact of global economic fluctuations doesn't affect them.
Cosmopolitan cities are always the first to come to mind when considering investment but, considering how bad things have gotten in big states and cities, it is safer, thus advisable, to stick to investments in small towns.
The pandemic has taught us that nothing in life is constant. Therefore, we should always prepare for the worst and be smart thinkers. Be an intelligent thinker today by investing in real estate!