Real Estate

What Is A Good Residential Real Estate Deal?

In most US markets there are many homes for sale at all price points. How does Tampa Capital Partners know when a property is a good deal for a real estate home buyer or real estate investor?

A good real estate property deal for a home buyer or investor has all of the following attributes:

The closing price …the price that a home buyer pays or is paid by a real estate investor is better than the trend of the closing prices of similar homes in the neighborhood.

There is no mass exodus of home owners in the neighborhood.

For real estate investors, the property will yield an above average cash on cash rate of return on investment or there is plenty of room for the real estate investor to make money reselling the property quickly….that is a retailing wholesaling transaction.

All renovations have been completed or have been completely disclosed with best estimates for completion.

Priority Real Estate Renovations

Any structural damage or weakness including roofs, siding, windows, doors. HVAC (heating and air conditioning), water heater, plumbing, electric. Structurally sound is important and is the first priority. Then we look at what is required to market the property.  There is a difference for a home to be sold to a residential home buyer and a residential home real estate investor.

If we are wholesaling the deal, the property is sold as is to a real estate investor. If we are selling the property to a real estate investor for residual income (rental or leasing) then we plan the real estate amenities accordingly.  All properties are already delivering above average market rates of return on investment with renters and property management in place or will deliver that should the real estate investor want to rent the property and arrange for property management independently.