In 2006, during the very peak of the Staten Island Real Estate boom, many people were still buying real estate in Staten Island as investment properties. Interest rates were relatively low at between 5 and 7 percent, but prices were high. Not many investors heeded the warning signs of a market bubble about to burst. Only the savvy Staten Island Real Estate investor was able to turn a profit from investment property purchased during the peak.
Fast forward to 2012 and we have an investment market prime for a comeback....sort of. Interest rates are the lowest in history at around 4%. Rents continue to rise. Prices have somewhat stabilized at a loss of between 10% and 25% of 2006 prices. So what's the hold up? For one thing you have banks with strict lending guidelines (as it should be) for investment property. But the biggest hold up is from investors themselves! Many of whom were burned with toxic real estate investments 5 years ago and are leery to invest again.
How do you find a relatively safe Staten Island Real Estate investment? First and foremost, you need to find a licensed REALTOR® who is familiar with the market and can find opportunities that make sense for your investment plan. They need to understand what your goals are and be able to help you achieve them. Second, you need cash! Gone are the days of borrowing 95% (or more) to "flip" a house or purchase an investment property. You will need cash, not only for your down payment and closing costs, but for any repairs needed as well as a few months of reserves, in case your investment is vacant for a period of time or your tenant isn't paying you rent. Lastly, and most importantly, you need Chutzpah. The ability to "pull the trigger". The audacity to "make a move". The strength to "carve your own path". The initiative to ....well, you get what I'm saying. Remember....no pressure, no diamonds.
Now is a great time to own a Staten Island Real Estate investment property. Rates are the lowest in history! Prices are the lowest in almost a decade! And rents are continuing to rise every year! Call your REALTOR® today and find out if a Staten Island Real Estate investment property is right for you.
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