For several months now, the Lake Havasu real estate market fell squarely in the seller's favor. Once Governor Ducey opened the state back up, home sales exploded. Last month's total sales eclipsed August 2019's sales by over 25%. And sale prices hit their highest median ever. But millions of people remain unemployed during the COVID-19 pandemic. So, is now a good time to buy a Havasu investment property? Short answer: yes.
Why Buy a Havasu Investment Property Right Now?
Historically Low Mortgage Rates
Lower interest rates make it purchasing a Havasu investment property a little cheaper. While interest rates on a second home/investment property tend to run higher, they still hit historical lows. To be a successful investor, you must keep your carrying costs and monthly expenses low. A lower interest rate on your loan helps. Talk to your lender about which loans work best for your needs. Or visit Top 10 Mortgage Loans to compare interest rates right now.
Vacation Rental Demand on the Rise
Lake Havasu City has long been known as a destination city for tourists. Even during the pandemic, that never stopped. Now that more and more businesses began opening up again, experts believe that the demand for vacation rentals will go up as well. Since Lake Havasu stays relatively warm year-round, we experience an influx of tourists every month of the year. Once the summer boaters leave, winter snowbirds flock here to escape their wintery blues in other parts of the country. Many people choose to rent their properties out for extra cash using the Airbnb model, as well. Therefore, a vacation home tends to make a great Havasu investment property.
Longer-Term Rentals in High Demand
In addition to vacation rentals, the long-term rental market benefits from this very unique time. Right now, Millenials, Gen Z-ers, and Baby Boomers all find themselves looking for properties. While some prefer buying, others tend to steer towards a low-maintenance lifestyle. They pay rent and let someone else deal with the hassles of homeownership. So, we find that the demand for longer-term rentals has skyrocketed in almost every segment of the population. Plus, low housing inventory forces many wanna-be homeowners into renting before they find something to buy. This translates into tons of possibilities for investment property owners.
Build Wealth
Finally, investment properties provide an excellent chance for you to build up your wealth. Even with the housing bust of the late 2000s, real estate remains a proven commodity for wealth building. People need a place to live no matter how the economy itself is doing. Just make sure you can afford to make the mortgage payment on your Havasu investment property if it sits vacant.
Visit any of my Lake Havasu real estate sites below for more information on the Havasu market:
Liz Sells Lake Havasu
Homes for Sale in Havasu
Havasu Area Homes
Just Call Liz
Originally posted on my Lake Havasu real estate blog here: https://havasuareahomes.com/is-now-a-good-time-to-buy-a-havasu-investment-property/.
Comments(1)