Timing the Residential Investment Market in Battle Creek

I have spoken to a few investors as of late about the subject of timing the residential investment market in Battle Creek.  There are always those that believe that the market can still go lower, and that they should wait. 

Perhaps there is truth to this; however I tend to take a different tactic on my approach to an investment property and timing the residential investment market in Battle Creek.  I look at available property, and I examine them thoroughly to determine if they will be profitable.  I factor in the purchase price, repairs needed to make it a marketable rental, and the expected rental rates in the area.  I also factor in an annual vacancy rate, and repair costs that might come up. 

In taking all of these factors into account, will this prospective residential investment property return my original investment in 3 years, 5 years or will it take longer.  So whenever I hear an investor talking about timing the residential investment market in Battle Creek, I recommend that they still continue looking and run the numbers thoroughly on anything they are interested in. 

There really is no magic crystal ball to look into to tell anyone whether this is the lowest that Real Estate in the area will go.  However, I will tell you from examining many homes on a daily basis for investors, there are some changes occurring in certain areas of Battle Creek that indicate to me that property values are leveling out and may even begin to rise. 

In high demand rental areas, bank owned properties are starting to see more and more competition in the bidding process.  The result is it is not uncommon to see foreclosure homes being sold for higher than the list price in certain areas, and as this activity increases, it will eventually drive values up. 

Banks and mortgage companies base the price they are listing a foreclosure on comparable bank owned sales in the area.  So when the sale prices start to climb, even on a gradient, it will begin to turn the values around in an area.  So timing the residential investment market in Battle Creek is best done by working with an experienced Realtor, and evaluating prospective investment homes on a case by case basis.  If you take this approach, you will find some great deals. 

For more information on Battle Creek Area investment properties, call me at: 269-441-8182 or visit my website and contact me through there: http://www.michaeldelaware.com/.