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About the pro athlete and real estate

By
Real Estate Agent with Harvest Realty

So you (or a family member) has been signed, drafted or had serious contacts.  The sport you love and spent all that time and energy getting better and better - it is now or might be your source of income.  So what do you do next?

Questions about real estate ownership can get complicated, especially if you have not yet establshed yourself as a long term member of the team.  Many solid players have changed teams more than once between training camp and the end of the season.  If your focus is on making the team, you should probably be renting and hold the possibilities of owning for the future.

I don't want my clients to buy a house or condo, only to have them sell it again a few months later because they signed with a team in a different city.  And I definitely don't want to see them struggle with a large payment after whatever circumstances have cut or eliminated their source of income.

So here are some brief ideas:

1. If you are ready to buy a home, pay cash or make sure it is free and clear quickly.  In Indianapolis there are plentiful NEW homes listed and available for sale under 250K.  And there are dozens of currently available new homes under 150K.

2. Consider a new (or newer) home instead of an older home.  New homes have fewer maintenence and repair issues.  You want to own the home, not have the home own you.

3.  Does a condo make more sense than a single family home on a lot?  If you are gone for extended periods of time, it might be less stressful to know that lawn care and snow removal is the responsibility of somebody else.  There are all varieties of condos, from the apartment-style to town homes to paired homes.

4. Where do you want to spend the off season?  I know that off-season is no longer an extended vacation.  In this era, being part of a team is virtually a year-round endeavor.  For many it is convenient to be located where the team is.  It allows you to participate in conditioning and demonstrate your commitment is person to doing what it takes to be part of the team.

5. Where do you want to be when it is time to move beyond your pro sports career?  While many

might not be able to answer that question now, some athletes might have a clear picture of where their post-carreer home might be.  If you know that, it is certainly a factor in the size and type of home you might want to consider.

6.  Investment real estate:  If you are at a point where you are looking to invet in real estate, central Indiana consistently ranks high on measures of home affordability.  That means that the typical income earned by central Indiana households is sufficient to be able to afford to buy or rent homes in the area.

 

If you are an athlete in the Indianapolis area, or the parent of a pro athlete, I would be happy to talk to you in a common sense way about some of the choices pertaining to real estate in Central Indiana,  I work with buyers of new homes and investors in the Indianapolis area.  You can contact me at 317-709-2537. Be sure to leave a message if necessary.

Comments (14)

Stefan Winter
Real Estate in IL & NV | Owner of Real Estate Web Tech | Daily Vlogger - Las Vegas, NV
Owner - Winter Group & Real Estate Web Tech

That is a great niche to focus on, and great tips for someone that might move or only be at their home part of the time. Have a great weekend!

Jun 20, 2015 04:29 AM
Kathy Streib
Cypress, TX
Home Stager/Redesign

Dan- I don't remember ever seeing this addressed in a post but it certainly is interesting. I remember consulting on a home that had been owned by an professional athlete, who unfortunately was not with his team for more than one season. 

Jun 20, 2015 06:52 AM
Kathy Streib
Cypress, TX
Home Stager/Redesign

Jun 20, 2015 11:55 AM
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

Good morning Dan,

I saw your post in Kathy Streib's post on her "Ah-ha" moments for the week! Great idea! I'm not sure I have seen a niche like this one before addressed!

Jun 20, 2015 10:56 PM
Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi
NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656 - New Lenox, IL
708.921.6331 - 40+ yrs experience

The same rules of thumb for purchasing real estate that apply to non-professional persons should also apply for pro athletes.  Typically you hear a 5-year rule regardingthe cost of financing a home or recovering the cost of purchase.  If pros don't know for a FACT they'll be in a city that long, renting might be a smarter financial move.  Of course, the city they are playing in (and it's housing market) will also be a factor to consider ...

Very interesting topic ...

Gene 

Jun 21, 2015 07:21 AM
Margaret Rome Baltimore 410-530-2400
HomeRome Realty 410-530-2400 - Pikesville, MD
Sell Your Home With Margaret Rome

Thanks to Kathy Streib for pointing me to this post. This is a good topic for all of us with major sports teams in our area!

 

Jun 21, 2015 10:46 AM
Dan Rosenberger
Harvest Realty - Westfield, IN

Thank you for the comments, and thanks to Kathy for including this in the weekly summary.  Your selection is always good and I feel honored to be included.

Gene - Other than top tier athletes, it is hard to say that anybody will be on the same team in five years.  But owning a home free and clear might end up being a great way to look forward to the day when the career is over.  So in that respect the pro athlete does have different circumstances.   Thank you for adding your perspective.

Jun 21, 2015 12:57 PM
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

I would like to know if you are able to crack this market.  I think you are correct in that their might be lending problems due to the seasonal and temp nature of the work.  

Jun 22, 2015 03:24 AM
Ed Silva, 203-206-0754
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Interesting analogy with real estate and the professional athletes, although some times the athletes are less than professional about their contracts.  For home buyers, there are few escape clauses so they need to make sure whatever they buy they will be able to keep

Jun 22, 2015 03:54 AM
John DL Arendsen
CREST "BACKYARD' HOMES, ON THE LEVEL General & Manufactured Home Contractor, TAG Real Estate Sales & Investments - Leucadia, CA
Crest Backyard Homes "ADU" dealer & RE Developer

Dan Rosenberger This is great material for a reblog. I would love to reblog this post as it really hits a nerve in more ways than one. My daughter is a World class Interior Designer and works with professional athletes Nationwde. She would love to benefit from your knowledge on this subject. 

 

I also have an AR friend who would love knowing this as well. Please scroll down to the bottom of the page and allow re blogging and I will be happy to pass this information and knowledge along.

Jun 22, 2015 05:18 AM
Joan Whitebook
BHG The Masiello Group - Nashua, NH
Consumer Focused Real Estate Services

An intersting post.  Thanks for sharing these insights.

Jun 22, 2015 12:54 PM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

Very interesting. Not having any personal acquaintance with pro athletes, I'd never thought about how uncertain their employment can be. Must be tough if they have spouses and children. 

Jun 23, 2015 01:21 AM
Sharon Alters
Coldwell Banker Vanguard Realty - 904-673-2308 - Fleming Island, FL
Realtor - Homes for Sale Fleming Island FL

Dan, this is an unusual and great topic! Many athletes are so focused on their sport that they have not considered these points as to how their investment dollars can be best spent.

Jun 23, 2015 12:17 PM
Debbie Laity
Cedaredge Land Company - Cedaredge, CO
Your Real Estate Resource for Delta County, CO

This is great information for many people in mobile professions to consider. Nice post, Dan. 

Sep 05, 2015 10:08 AM