Treasure Coast Real Estate Blog

Jan. 11, 2019

At Cobblestone in Palm City, FL 34990

Estate Home Living with a Backyard Country Club

Cobblestone at Palm City, FL 34990

Cobblestone is a gated and patrolled community in Palm City, Florida. Residents may obtain optional golf memberships to the private Fox Club, which surrounds the neighborhood.

This subdivision offers a wide variety of custom and estate homes situated on oversize half acre lots with fantastic lake, golf and preserve views. A low density development of less than 250 residences, Cobblestone is ideally located just off I-95 with easy access to entertainment, shopping and commuter highways.

Cobblestone Listings

Cobblestone Market Trends

Featured Cobblestone Property

 

 

Contact Eric Slifkin

Eric Slifkin, a Broker Associate, is the founder of the Slifkin Team at Keller Williams Realty. Eric and his team of experienced agents serve South Florida and the Treasure Coast, including greater Stuart, Port Saint Lucie, and the Palm Beaches.

 

Nov. 28, 2018

I inherited a house – what do I do now?

 

ORLANDO, Fla. – Nov. 26, 2018 – Aretha Franklin died without a will, leaving an $80 million fortune and multiple properties. Although Franklin's sons appointed her niece to execute the estate, the situation shows how family feuds and other problems can potentially result when inheritance portions aren't clearly defined or when an executor may be in over their head.

"Inheriting a property can come as a shock and may feel like an insurmountable obstacle," says Alex Lehr, a California real estate broker and author of "The Unexpected Sale: Guidance For The Executor/Administrator Of An Estate." "And usually the biggest asset in an estate – and the most difficult to resolve – is a house.

Decisions an executor might face when a house is part of an inheritance

Keep, rent or sell?
Competing interests among siblings can make the right decision difficult. "Caught in the middle, the executor has to ask the heirs to keep their emotions under control and put the rational facts on the table," Lehr says. "Selling is often the best decision if medical bills, tax issues or other reasons require cashing out. And it produces a specific amount that can be divided equally."  Learn More

Can you manage a property investment?
If "keep the property in the family" is an option, an executor needs objectively consider the beneficiaries' dependability. "Would you choose the other beneficiaries to be your partners in any long-term investment?" Lehr asks. "Could they get divorced, go bankrupt or bring other entanglements?" And if you decide to rent the property, Lehr said there are issues to consider such as the local market for rentals and your ability to maintain the property.

Establishing property value
If one heir or beneficiary wants to buy the house, the estate must determine the market value and get a fair price to be fair to the other heirs and beneficiaries, and that starts with at least one appraisal. "Alternatively, the executor can put the property on the market with the expressed provision that one of the heirs has the right of first refusal to match the highest offer," says Lehr.

Repair and renovate?
In the time after a homeowner dies and the house sells, an executor must make sure the house is maintained in good condition, necessary repairs are carried out and it's kept insured. "An executor can be personally liable for failure to maintain a property that results in losses for the heirs," Lehr says. "But how much work is worthwhile before putting a home on the market? That's a big question that depends on the property and circumstances."

Furnished or unfurnished?
It's not unusual for an inherited home to be filled with a 30-year accumulation of stuff. In most cases, the property should be cleared out and cleaned up before it's placed on the market, even if the executor decides to keep sell it as already furnished.

"Being an executor is a time-consuming and often thankless job that people often take on while grieving," Lehr says. "It's up to the executor to assess not only the physical assets of an estate but also the people and emotions involved."

Source: Alex Lehr, lehrrealestate.com

© 2018 Florida Realtors®

Contact Eric Slifkin to buy or sell a home on the Treasure Coast.

Eric Slifkin, a Broker Associate, is the founder of the Slifkin Team at Keller Williams Realty. Eric and his team of experienced agents serve South Florida and the Treasure Coast, including greater Stuart, Port Saint Lucie, and the Palm Beaches.

 

Nov. 23, 2018

Home Selling: First Impressions Count!

Selling Your Home? First Impressions Count!
Sprucing Up Driveways and Walkways

Selling your home? First impressions count!

When selling your home, don’t forget that the very first thing a potential buyer will see is your driveway or walkway. Be sure to make a great first impression by ensuring these important areas of your home are up to par! Maximize “curb appeal” by keeping your front lawn mowed, and driveway and walkway clean and free of cracks. You may even want to add some colorful flowers or shrubs to attract potential buyers. 

“A well-built, well-maintained asphalt driveway adds curb appeal to your house,” explains Steve Fradianni of M&S Paving and Sealing Inc., in Danbury, Conn. “It’s the first impression of your home that people see and it should look as good as it could. Asphalt driveways are easy to keep free of snow and ice in the winter and relatively dirt-free in the summer. They are economical, durable and long lasting, and they are easy to maintain.” 

Once potential buyers leave their car to head to the front door, the walkway begins to play an important role. That’s why it’s vital to make sure both the driveway and walkway are in tip-top shape. 

 

Contact Eric Slifkin to buy or sell a home on the Treasure Coast.

Eric Slifkin, a Broker Associate, is the founder of the Slifkin Team at Keller Williams Realty. Eric and his team of experienced agents serve South Florida and the Treasure Coast, including greater Stuart, Port Saint Lucie, and the Palm Beaches.

 

Nov. 11, 2018

Selling an Inherited Property in Florida

Selling Herited Property

Preparing to Sell an Inherited House or a Probate Home in Florida

Are you selling an inherited home or a house undergoing Florida probate proceedings? When it comes to selling real property that you or multiple people have inherited you will want to work with a real estate team who understands the needs and challenges you may face in managing the process. Request a Call

House Staging

Getting Your Inherited House Listed and Sold

We can help you proceed through the responsibilities of selling an inherited home, advising you on services, repairs, and upgrades that may be necessary to get the house sold in the shortest time and for the best possible price. As your representative we will:

  • Work with your attorney, executor, personal representative, or "go to" person
  • Provide property valuation, market condition, and pricing reports
  • Assist with home inspections, clean out services, and ongoing maintenance
  • Recommend contractors for property repairs or improvements

Marketing an Inherited House

How We Market Inherited Florida Properties

Listing an inherited home, much like selling a home under normal circumstances, has its unique challenges. The following are just a few of the myriad marketing tools and services we use to simplify the process of getting your house listed and sold as quickly as possible:

  • We will list and market the property deploying all of our online, social media, and print resources
  • Leverage our network of investors (if your goal is to sell the home as-is, quickly, and for cash)
  • Provide continuous feedback on property showings and changes in market conditions
  • Handle negotiations and paperwork from offer through settlement

 

"I needed to sell a property owned by a trust. The property is 200 miles from my office, and Eric handled everything (including paying the utilities, the clean out, appraisal, inspection, repairs, boxing of personal papers, and ultimate sale). He constantly kept me informed, offered proper guidance on the pricing, offers/ counter-offer, and provided every detail to sell the property. He comes strongly recommended, and I second that."


I enjoyed working with Eric and Tricia. He was very candid, a straight shooter, set appropriate expectations, and understands the market. The team was very responsive to calls and questions, very helpful when it came time to closing and emptying the house. Between Eric and Tricia, they responded to emails late at night and early in the am. He was the right realtor for us and the market."

 

Request a Free Consultation

We are here for you whenever you need us and are dedicated to helping you every step of the way. Feel free to get in touch with any questions or concerns about dealing with an inherited property.

Contact Us to schedule a free consultation.  Whether buying or selling a home on the Treasure Coast we are always happy to meet with you at one of our five convenient locations to discuss your wants and needs, no obligation.

Whether buying or selling a home on the Treasure Coast, we are always happy to meet with you, no obligation. Contact us to schedule a free consultation.

 

Sept. 8, 2018

5 Tips for Increasing Your Home's Value

Increase Your Home's Value BEFORE Listing It

Increasing the value of your home before putting it on the market is important, and your budget shouldn’t hold you back. Here are a few, simple tips to improve the look and feel of your home fast, all for under $400.00...

Little Things Mean a Lot

1. Low-maintenance lawn care: Overgrown lawns and bushes will cause your home to stand out - in a bad way. For a few hundred dollars, hire a landscaping service to tidy up. Adding plants and trees native to your region will also help boost the home’s curb appeal.

2. Deep house cleaning: Make sure your home says “clean” to potential buyers when they walk in the door. Even if you clean your home regularly, hire a cleaning service for a thorough top-to-bottom scrubbing.

3. Make your home feel bigger: You can’t change the square-footage of your home, but you can make each room in your house feel larger. A sunny room feels more open—replace heavy drapes with vertical blinds or shutters. Also, clear the clutter. Add shelving or storage space to help organize.

4. Replace and update: Dated wallpaper, old lighting fixtures, popcorn ceilings and broken features, such as ceiling fans, could turn many buyers away. Making these changes will add dollar signs to the value of your home instantly.

5. Add money-saving efficiencies: Updates to make your home more energy-efficient are a big bonus for buyers because it will save them money in the long term. Many utility companies provide free energy audits so they can show you how to maximize the energy efficiency of your home. Installing a water filtration system is an inexpensive addition that will also lower the buyer’s grocery bills—no more bottled water.

 

Contact Eric Slifkin to buy or sell a home on the Treasure Coast.

Eric Slifkin, a Broker Associate, is the founder of the Slifkin Team at Keller Williams Realty. Eric and his team of experienced agents serve South Florida and the Treasure Coast, including greater Stuart, Port Saint Lucie, and the Palm Beaches.

 

 

 

Sept. 8, 2018

5 Things Home Buyers Should Never Compromise On

When buying a home, there are some things you should never compromise on—or you’ll likely regret your home purchase, according to Realtor.com.

1. The floor plan. It’s difficult and expensive to reconfigure a home’s floor plan. If a home doesn’t have the minimum number of rooms or the flow of the main living areas you want, you should cross it off your list.

2. The school district. You should carefully consider your neighborhood’s school district, and even get a map of its exact boundaries to make sure your home is within the correct district.

3. The neighbors. You should pay attention to the condition of neighboring homes. Not only do you have to live with your neighbors on a daily basis, but they can affect your home’s future resale value, too.

4. The budget. Consider all the expenses—monthly mortgage payments, homeowner association dues, utility costs and real estate taxes—beyond the list price to make sure you’ll be financially comfortable.

5. The commute. Test-drive the route between your home and office to be certain you’re willing to make the commute every day.

 

Contact Eric Slifkin to buy or sell a home on the Treasure Coast.

Eric Slifkin, a Broker Associate, is the founder of the Slifkin Team at Keller Williams Realty. Eric and his team of experienced agents serve South Florida and the Treasure Coast, including greater Stuart, Port Saint Lucie, and the Palm Beaches.

 

 

 

Aug. 29, 2018

Renters for a Weekend or a While: What’s the Best Use of Your Investment Property?

The residential rental market is now the fastest-growing segment of the housing market. In the United States, the demand for single-family rentals, defined as either detached homes or townhouses, has risen 30 percent in the past three years.1 And in Canada, rental units now account for nearly one-third of the country’s homes, with particular demand for multi-family units, including apartments and condominiums.2

At the same time, the short-term, or vacation, rental market is also booming. The popularity of online marketplaces like Airbnb, HomeAway, and VRBO has helped the short-term rental market become one of the fastest-growing segments in the travel industry.3

Now, more than ever, there is an abundance of opportunity for real estate investors. But which path is best: leasing your property to a long-term tenant, or renting your property to travelers on a short-term basis?

In this post, we examine the differences between the two investment strategies and the benefits and limitations of each category.

WHY INVEST IN A RENTAL PROPERTY? The Top 5 Reasons

Before we delve into the differences between long-term and short-term rentals, let’s answer the question: “Why invest in a rental property at all?”

There are five key reasons investors choose to real estate over other investment vehicles:

  1. Appreciation is the increase in your property’s value over time. And history has proven that over an extended period, the cost of real estate continues to rise. Recessions may still occur, but in the vast majority of markets, the value of real estate does grow over the long term.
  2. Cash Flow One of the key benefits of investing in real estate is the ability to generate steady cash flow. Rental income can be used to pay the mortgage and taxes on your investment property, as well as regular maintenance and repairs. If appropriately priced in a solid rental market, there may even be a little extra cash each month to help with your living expenses or to grow your savings.Even if you only take in enough rent to cover your expenses, a rental property purchase will pay for itself over time. As you pay down the mortgage every month with your rental income, your equity will continue to increase until you own the property free and clear … leaving you with residual cash flow for years to come.
  3. Hedge Against Inflation Inflation is the rate at which the general cost of goods and services rises. That means as inflation rises, the money you have sitting in a savings account will buy less tomorrow than it will today. On the other hand, the price of real estate typically matches (or often exceeds) the rate of inflation. To hedge or guard yourself against inflation, real estate can be a smart investment choice.
  4. Leverage is the use of borrowed capital to increase the potential return of an investment. You can put a relatively small amount down on a property, finance the rest of the investment with a mortgage, and then profit on the entire combined value.
  5. Tax Benefits Don’t overlook the tax benefits that can come with a real estate investment, as well. From deductions to depreciation to exemptions, there are many ways a real estate investment can save you money on taxes. Consult a tax professional to discuss your particular circumstances.

These are just a few of the many perks of investing in real estate. (For more detailed information, visit our previous post: Why Real Estate Investing Makes (Dollars and) Sense. But what’s the best strategy to maximize returns on your investment property? In the next section, we explore the differences between long-term and short-term rentals.


LONG-TERM (TRADITIONAL) RENTAL MARKET

When most people think of owning a rental property, they imagine buying a home and renting it out to tenants to use as their primary residence. Traditionally, investors would use their rental property to generate an additional stream of income while benefiting from the property’s long-term appreciation in value.

In fact, that steady and predictable monthly cash flow is one of the key advantages of owning a long-term rental. And as an owner, you don’t usually have to worry about paying the utility bills or furnishing the property—both of which are typically covered by the tenant. Add to this the fact that traditional tenants translate into less time and effort spent on day-to-day property management, and long-term rentals are an attractive option for many investors.

However, there are also limitations to long-term rentals, which often come down to your ability to control the property. Perhaps the most obvious one is that you do not get to use the home or closely monitor its upkeep (this is different from a short-term rental, which we’ll share in the next section).

In addition, while you can usually generate a steady, predictable income stream with a long-term rental, you are limited in your ability to adjust rent prices based on increasing or seasonal demand. Therefore, you may end up with a lower overall return on your investment. In fact, according to data from Mashvisor, in the 10 hottest real estate markets, short-term rentals produced “significantly higher rental income” than long-term rentals.4


SHORT-TERM (VACATION) RENTAL MARKET

Short-term rentals are often referred to as vacation rentals, as more and more travelers enjoy the benefits of staying in a home while on vacation. In fact, according to Wells Fargo, vacation rentals are steadily growing and predicted to account for 21% of the worldwide accommodations market by 2020.5

Investing in a short-term rental or funding your second-home purchase by renting it out can offer many benefits. If you purchase an investment property in a top travel destination or vacation spot, you can expect steady demand from travelers while taking advantage of any non-rented periods to enjoy the home yourself. In addition to greater control over how your property is used, you can also adjust your rental price around peak travel demand to maximize your returns.

But short-term rentals also have risks and drawbacks that may dissuade some investors. They require greater day-to-day property management, and owners are typically responsible for furnishing the property, upkeep, and utilities.

And while rental revenue can be higher, it can also be less predictable based on seasonal or consumer travel trends. For example, a lack of snowfall during ski season could mean fewer bookings and lower rental revenue that year.

In addition, laws and limitations on short-term rentals can vary by region. And in some areas, the regulations are in flux as residents and government officials adapt to a new surge in short-term rentals. So make sure you understand any existing or proposed restrictions on rentals in the area where you want to invest.

Urban centers or suburban communities may be more resistant to short-term renters, thus more likely to pass future limitations on use. To lower your risk, you may want to consider properties in resort communities that are accustomed to travelers. We can help you assess the current regulations on short-term rentals in our area. Or if you’re interested in investing in another market, we can refer you to a local agent who can help.


WHICH INVESTMENT STRATEGY IS RIGHT FOR YOU?

Now that you understand these two real estate investment options, how do you pick the right one for you? It’s helpful to start by clarifying your investment goals.

If your goal is to generate steady, predictable income with less time and effort spent on property management, then a long-term rental may be your best option. Also, if you prefer a less-risky investment with more reliable (but possibly lower) returns, then you may be more comfortable with a long-term rental.

On the other hand, if your goal is to purchase a vacation or second home that you’ll use, and you want to defray some (or all) of the expense, then a short-term rental may be a good option for you. Similarly, if you’re open to taking on more risk and revenue volatility for the possibility of greater investment returns, then a short-term rental may better suit your spirit as an investor.

But sometimes the decision isn’t always so clear-cut. If your goal is to purchase a future retirement home now to hedge against inflation, rising real estate prices, and interest rates, then both long- and short-term rentals could be suitable options. In this case, you’ll want to consider other factors like location, market demand, property type, and your risk tolerance.


HERE OR ELSEWHERE … WE CAN HELP

If you’re looking to make a real estate investment—whether it’s a primary residence, investment property, vacation home, or future retirement home—give us a call. We’ll help you determine the best course of action and share insights and resources to help you make an informed decision. And if your plans include buying outside of our area, we can refer you to a local agent who can help. Contact us to schedule a free consultation!

The above references an opinion and is for informational purposes only.  It is not intended to be financial advice. Consult the appropriate professionals for advice regarding your individual needs.

 

Sources:

  1. USA Today –
    https://www.usatoday.com/story/money/personalfinance/real-estate/2017/11/11/renting-homes-overtaking-housing-market-heres-why/845474001/
  2. The Globe and Mail –
    https://www.theglobeandmail.com/real-estate/the-market/article-demand-for-rental-housing-in-canada-now-outpacing-home-ownership/
  3. Phocuswright –
    https://www.phocuswright.com/Travel-Research/Research-Updates/2017/US-Private-Accommodation-Market-to-Reach-36B-by-2018
  4. com –
    https://www.rented.com/vacation-rental-best-practices-blog/do-long-term-rentals-or-short-term-rentals-provide-better-investment-returns/
  5. Turnkey Vacation Rentals –
    https://blog.turnkeyvr.com/short-term-vs-long-term-vacation-rental-properties/
Aug. 29, 2018

Why Real Estate Investing Makes (Dollars and) Sense

INTRODUCTION

Turn on the television or scroll through Facebook, and chances are you’ll see at least one advertisement for a group or “guru” who promises to teach you how to “get rich quick” through real estate investing. The truth is, much of what they’re selling are high-risk tactics that aren’t a good fit for the average investor. However, there is a way to make steady, predictable, low-risk income through real estate investing. In this blog post, we’ll examine the tried-and-true tactics that can be used to increase your income, pay off debt … even fund your retirement!

WHY INVEST IN REAL ESTATE?

One of the basic principles of real estate investment lies in this fact: everyone needs a place to live. And according to the Bureau of Labor Statistics’ most recent Consumer Expenditures Survey, housing is typically an American’s largest expense.1 But there are other reasons why real estate is a great investment choice, and we’ve outlined the top five below:

  1. Appreciation
    Appreciation is the increase in your property’s value over time. History has proven that over an extended period of time, the value of real estate continues to rise. That doesn’t mean recessions won’t occur. The real estate market is cyclical, and market ups and downs are natural. In fact, the U.S. housing market took a sharp downturn in 2008, and many properties took several years to recover their value. However, in the vast majority of markets, the value of real estate does grow over the long term.

    The S&P CoreLogic Case-Shiller National Home Price Index, which tracks U.S. residential real estate prices, released its latest results on August 29 with the headline “National Home Price Index Rises Again to All Time High.”2

    While no investment is without risk, real estate has proven again and again to be a solid choice to invest your money over the long term.
    Source: ZeroHedge3

  2. Hedge Against Inflation
    Inflation is the rate at which the general cost of goods and services rises. As inflation rises, prices go up. This means the money you have in your bank account is essentially worth less because your purchasing power has decreased.

    Luckily, real estate prices also rise when inflation increases. That means any money you have invested in real estate will rise with (or often exceed) the rate of inflation. Therefore, real estate is a smart place to put your money to guard against inflation.

  3. Cash Flow
    One of the big benefits of investing in real estate over the stock market is its ability to provide a fairly steady and predictable monthly cash flow. That is, if you choose to rent out your investment property to a tenant, you can expect to receive a rent payment each month.

    If you’ve invested wisely, the rent payment should cover the debt obligation you may have on the property (i.e. mortgage), as well as any repairs and maintenance that are needed. Ideally, the monthly rental income would be great enough to leave you a little extra cash each month, as well. You could use that extra money to pay off the mortgage faster, cover your own household expenses, or save for another investment property.

    Even if you only take in enough rent to cover your expenses, a rental property purchase will pay for itself over time. As you pay down the mortgage every month with your rental income, your equity will continue to increase, until you own the property free and clear … leaving you with residual cash flow for years to come.

    As the owner, you will also benefit from the property’s appreciation when it comes time to sell. This can be a great way to save for retirement or even fund a child’s college education. Purchase a property when the child is young, and with a little discipline, it can be paid off by the time they are ready to go to college. You can sell it for a lump sum, or use the monthly income to pay their tuition and expenses.

  4. Leverage
    One of the unique features that sets real estate apart from other asset classes is the ability to leverage your investment. Leverage is the use of borrowed capital to increase the potential return of an investment.

    For example, if you purchase an investment property for $100,000, you might put 10% down ($10,000) and borrow the remaining $90,000 in the form of a mortgage.

    Even though you’ve only invested $10,000 at this point, you have the ability to earn a profit on the entire $100,000 investment. So, if the property appreciates to $120,000 – a 20% increase over the purchase price – you still only have to pay the bank back the original $90,000 (plus interest) … and you get to keep the $20,000 profit.

    That means you made $20,000 off of a $10,000 investment, essentially doubling your money, even though the market only went up by 20%! That’s the power of leverage.

  5. Tax Advantages
    One of the top reasons to invest in real estate is the tax benefit. There are numerous ways a real estate investment can save you money each year on taxes:

    Depreciation
    When you record your income from a rental property on your annual tax return, you get to deduct any expenses associated with the investment. This includes interest paid on the mortgage, maintenance, repairs and improvements, but it also includes something called depreciation.Depreciation is the theoretical loss your property suffers each year due to aging. While it’s true that as a home ages it will structurally need repairs and systems will eventually need to be replaced, we’ve also learned in this post that the value of real estate appreciates over time. So getting to claim a “loss” on your investment that is actually gaining in value makes real estate an appealing investment choice.

    Serial Home Selling
    Even if you’re not interested in owning a rental property, other types of real estate investments offer tax advantages, as well. Generally, when you own an investment property you pay a capital gains tax on any profits you make when you sell the property.

    However, when you sell your principal residence, you are exempt from paying taxes on capital gains (up to $250,000 for singles and $500,000 for couples). The Internal Revenue Service (IRS) only requires that you live in the house for two of the previous five years. That means you can purchase an investment property, live in it while you remodel it, and then sell it for a tax-free profit two years later. This can be a great way to get started in real estate investing.

    Section 1031 Exchanges
    In addition to profiting off of your personal residence tax free, it is possible to sell an investment property tax free if you do it through a 1031 Exchange. If structured properly, the IRS Tax Code enables an investor to sell a property and reinvest the proceeds in a new property while deferring all capital gains taxes.

    Tax-Deferred Retirement Account
    It’s a common misconception that you can only purchase financial instruments (i.e. stocks, bonds, mutual funds, etc.) through an Individual Retirement Account (IRA) or 401(k). In actuality, the IRS allows individuals to invest retirement funds in real estate and other alternative types of investments, as well. By purchasing your investment property through an IRA, you can take advantage of all of the tax savings these accounts offer.

    Be sure to consult a tax professional regarding all tax matters related to your real estate investments. If structured correctly, the profits you earn on your real estate investments can be largely shielded from tax liability. Just another reason to choose real estate as your preferred investment vehicle.

TYPES OF REAL ESTATE INVESTMENTS

While there are numerous ways to invest in real estate, we’re going to focus on three primary ways average investors earn money through real estate. We touched on several of these already in the previous section.

  1. Remodel and Resell
    HGTV has countless “reality” shows featuring property flippers who make this investment strategy look easy. Commonly referred to as a “Fix and Flip,” investors purchase a property with the intention of remodeling it in a short period of time, with the hope of selling it quickly for a profit.

    This is a higher-risk tactic, and one for which many of the real estate “gurus” we talked about earlier claim to have the magic formula. They promise huge profits in a short amount of time. But investors need to understand the risks involved, and be prepared financially to cover additional expenses that may arise.

    Luckily, an experienced real estate agent can help you identify properties that may be good candidates for this type of investment strategy… and help you avoid some of the pitfalls that could derail your plans.

  2. Traditional Rental
    One of the more conservative choices for investing in real estate is to purchase a rental property. The appeal of a rental property is that you can generate cash flow to cover the expenses, while taking advantage of the property’s long-term appreciation in value, and the tax benefits of investing in real estate. It’s a win-win, and a great way for first-time investors to get started.

    And according to the U.S. Bureau of Labor Statistics, rents for primary residences have increased 21.9 percent between 2007 and 2015 as demand for rental units continues to grow.1

  3. Short-term Rental
    With the huge movement toward a “sharing economy,” platforms that facilitate short-term rentals, like Airbnb and HomeAway, are booming. Their popularity has spurred a growing trend toward dual-purpose vacation homes, which owners use themselves part of the year, and rent out the remainder of the time. There are also a growing number of investors purchasing single-family homes for the sole purpose of leasing them on these sites.

    Short-term rentals offer several benefits over traditional rentals, which many investors find attractive, including flexibility and higher profit margins. However, the most profitable properties are strategically located near popular tourist destinations. You’ll need an experienced real estate professional to help you identify the right property if you want to be successful in this highly-competitive market.

DOES REAL ESTATE INVESTING SOUND TOO GOOD TO BE TRUE?

We’ve all heard stories, or maybe even know someone, who struck it rich with a well-timed real estate purchase. However, just like any investment strategy, a high potential for earnings often goes hand-in-hand with an increase in risk. Still, there’s substantial evidence that a well-executed real estate investment can be one of the best choices for your money.

Purchasing a home to remodel and resell can be highly profitable, as long as you have a trusted team in place to complete the remodel quickly and within budget … and the financial means to carry the property for a few extra months if delays occur.

Or, if you buy a house for appreciation and cash flow, you can ride through the market ups and downs without stress because you know your property value is bound to increase over time, and your expenses are covered by your rental income.

In either scenario, make sure you’re working with a real estate agent who has knowledge of the investment market and can guide you through the process. While no investment is without risk, a conservative and well-planned investment in real estate can supplement your income and set you up for future financial security.

If you are considering an investment in real estate, please contact us to set up a free consultation. We have experience working with all types of investors and can help you determine the best strategy to meet your investment goals.

Sources:

  1. Bureau of Labor Statistics Consumer Expenditure Survey Annual Report – https://www.bls.gov/opub/reports/consumer-expenditures/2015/home.htm
  2. S&P Dow Jones Indices Press Release –
    https://www.spice-indices.com/idpfiles/spice-assets/resources/public/documents/574349_cshomeprice-release-0829.pdf?force_download=true
  3. Durden, T. (2016 November 29). US Home Prices Rise Above July 2006 Levels, Hit New Record High [blog post] ZeroHedge –
    http://www.zerohedge.com/news/2016-11-29/us-home-prices-rise-above-july-2006-levels-hit-new-record-high

 

Contact Eric Slifkin to buy or sell a home on the Treasure Coast.

Eric Slifkin, a Broker Associate, is the founder of the Slifkin Team at Keller Williams Realty. Eric and his team of experienced agents serve South Florida and the Treasure Coast, including greater Stuart, Port Saint Lucie, and the Palm Beaches.

 

 

 

Aug. 23, 2018

Home Ownership Tips and Topics

Posted in Home Ownership
Aug. 22, 2018

Palm Beaches Luxury Real Estate Sales

Luxury Home Market Update for Beach County

Selling or planning to sell a luxury property along the Palm Beach real estate corridor? Our Luxury Market Report is your guide to luxury real estate data and trends.

Palm Beaches Luxury Market Report

The market trends report shows how your home compares to the competition. This report should be used in combination with a detailed home assessment to give you an accurate assessment for your unique property. Download the Report

 

Contact Eric Slifkin to buy or sell a home on the Treasure Coast.

Eric Slifkin, a Broker Associate, is the founder of the Slifkin Team at Keller Williams Realty. Eric and his team of experienced agents serve South Florida and the Treasure Coast, including greater Stuart, Port Saint Lucie, and the Palm Beaches.

 

 

 

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