Investing in real estate is investing in the future. When choosing where to purchase your next piece of property, you must have a bit of foresight. That being said, in real estate, not all that glitters is gold and one should not always judge property using its current value, but also by gauging its potential value. You may ask what a buyer’s market is, and why you should purchase property in such a market. A buyer’s market in real estate can be defined as a housing market where houses sell more slowly as compared to the rest of the world. In these markets, house prices increase slowly because demand is not competitive enough to warrant an increase in price. Of course, demand for houses is informed by factors such as the job industry in the area, the city amenities and the health of the industries in the area and as such, some buyer’s market properties should be avoided especially if one seeks to recoup their investment within a relatively short period of time.
On the other hand, however, for long term investors, a buyer’s market property can be a perfect option. If one play’s their cards right, then they may be able to find pieces of property in areas that are still in a buyer’s market, but that are quickly developing. Furthermore, many experts suggest that there is a possibility that we are not far from another housing crisis or recession. With such forecasts, it would be counter-intuitive to purchase an expensive piece of property only to see its value plummet.
Below is a list of promising areas that are still in a buyer’s market.
Las Vegas, Nevada
Besides having an immortalized reputation as the word’s gambling and nightlife capital, Vegas is also known to have one of the most stable housing markets in the nation. Amidst the price frenzy going on in many other parts of the country, Las Vegas is still 13 percent away from reaching its peak housing prices.
Vegas is an alluring market for several reasons. For one, the state of Nevada has no income tax. Moreover, it’s full of activities suited to everyone as it is within the general proximity of Los Angeles.
Asheville, North Carolina
Known for its location at the foot of the Appalachian mountains, it’s easy to see why this location is a great investment for someone looking to settle. For those looking for economic vibrancy as their criteria, Asheville is also an important economic hub for southern Appalachia. Besides having a great tourism industry, Asheville also has a booming technology industry as well as a culinary one.
Asheville is listed as a buyer’s market property because of the fact that in this location, buyers have great bargain power. With a median home price of 185,600 dollars, buyers can also expect a 10% discount on properties at the very least. It also has a 4.3 % in 3 years increase in the value of property, once purchased.
Orlando has made a name for itself with its impressive theme park industry. Home to Disney World and Universal Studios, Orlando is a top vacation destination. Located in Florida, the weather here is almost always great. It easy to understand why the average home price here stood at 224, 000 in 2017, higher than the national average of 199, 200. That being said though, Orlando is on this least because, given the value of the area, the fact that it hasn’t recovered to its pre-recession house prices means that buyers can expect a bargain purchase.
Tulsa has a robust economy that shows no signs of decline. Its vibrant energy industry (several energy firms have their headquarters or branch offices here) and the fact that it is located near one of the world’s largest energy terminals at Cushing, Oklahoma make Tulsa an ideal real estate investment option. Tulsa also has a vibrant tourism industry, thanks to the Ouachita Mountains and its proximity to Little Rock.
Despite these impressive factors, Tulsa’s average house prices that stand at 110, 300 are still way below the national average, making it a gem for long term investors. It also has an impressive 5-year price change of 11.6%s