It’s no news that the casino industry is thriving. The latest statistics reveal that the global casino and gambling market has reached almost 220 billion U.S. dollars in 2020, with over one million workers employed at 4.8 thousand casino establishments worldwide. Experts predict we’re going to witness a surge in demand for casino games in the next few years which will lead to the further growth of the casino sector.
But we don’t even need to look at the numbers to understand the extent of the phenomenon. It’s enough to look around and we can easily see where things are going. There are countless casino establishments popping up left and right in countries all over the world, creating quite an impressive casino network.
The rising popularity of casinos and gambling sites, backed by technological advances, easy access to the internet, and the new regulations in the industry, is good news for all casino operators and gamblers. However, for real estate investors and potential home buyers, the development of the gambling landscape can paint a different picture.
The real estate sector is known for its volatility. There are countless factors that can impact trends in the real estate market and bring unexpected outcomes. You can never really predict where things are heading when it comes to real estate. Throw the rapid expansion of casinos in the mix and things become even more complicated.
To buy or not to buy
All the aspects mentioned above bring us to one important question: what does buying a property near a casino establishment imply? Because purchasing a property next to a casino where people come to enjoy popular casino games such as blackjack or roulette is not the same as buying a property in a quiet neighborhood. So, let’s see what potential buyers should take into account.
Real estate experts have different opinions when it comes to these types of properties which only adds to the confusion. Predictions usually fall into two categories. Those that focus on the negative impact that casino facilities may have on the real estate and those that praise the benefits of investing in properties with casino establishments nearby. We’ll take a look at both perspectives and try to gain a better understanding of the problem at hand.
Pros
Casinos provide more than an organized setting where players can place bets and put their gambling skills to the test. Even with the rise of online gambling and the convenience of playing casino games on a smartphone, many people still choose land-based casinos because they have a lot more to offer. Casinos are often attached to restaurants, bars, spas, hotels, or luxury resorts, which means they draw a lot of money in the area and contribute to its development.
From this point of view, buying a property located close to a reputable casino complex can bring various advantages. Not only will you get to live in an area where the economy is thriving, but you’ll also have a lively community around you which can represent a bonus for certain home buyers. Those who enjoy a vibrant lifestyle will actually find the hustle and bustle of such a location appealing.
There’s also the potential to set up a prosperous business since the area is visited by a large number of people who can turn into loyal customers. Those who have an entrepreneurial spirit can definitely see the opportunities in this investment.
Also, you can buy the property and then rent it out if you don’t find it suitable as a living option. You don’t have to live there if you believe it will affect your peace and calm. Renting is a viable solution if you want to make the most of your investment and use the property as an extra source of income.
Cons
There are always at least two sides to every story and that’s also the case with these types of properties. While the pros can have you convinced you should go for it, there are also downsides to take into consideration. And you’ve got to weigh all aspects before making a final decision.
What can be an advantage for some buyers can turn into a major disadvantage for others. We’re obviously talking about the rush and commotion that go hand in hand with casino establishments. We can easily assume that such an environment is less than ideal for people with kids who want to live a peaceful and tranquil life. It’s not very likely to enjoy much tranquility in a location that attracts gamblers who enjoy tragamonedas games and other casino activities.
Also, certain experts advise against investing in real estate near a casino because this can affect the value of the property. This means that if you’re planning to sell the property at some point in the future, you might not get the amount you’d hope for.
And there’s another grim scenario to take into account. Assuming you’ve bought the property due to its proximity to a casino establishment, hoping to take advantage of the traffic it drives to establish your own business, what would happen if the casino goes bankrupt? Your business will also be affected and you’ll have a difficult time getting it back on track.
Final thoughts
As you can see, there’s no simple answer to this question. Buying a property is a major investment, so you’ve got to do your homework and weigh both the pros and the cons before signing on the dotted line. The proximity of casino facilities can work both as an advantage and as a disadvantage, not to mention there are many other variables that come into play and that could change the outcome of your investment.
The smartest thing to do is take the time to analyze all these factors carefully and look for professional assistance if you want to minimize risks and make an informed decision.
Comments(7)