What a time to buy! Charlotte NC Homes For Sale are still selling but many Charlotte Homes are selling at prices they were 2 years ago! This is incredible for the Charlotte Real Estate market. Yes, it is true that Charlotte Realty has always been appreciating at a steady pace unlike many other markets that experienced the unrealistic and unsustainable price surge. There are certain areas in Charlotte that you can really save but the Charlotte Homes with the biggest savings accompanies the Charlotte Homes with the largest risks. But that is to be expected (that is why certain homes are not selling and why the sellers are providing deep discounts).
The Charlotte starter home neighborhoods are going through a series of changes. Many of these homes were purchased by Charlotte New Home Buyers that were not economically prepared to own a Charlotte home. In addition to these high risk buyers, many national investors also jumped into these Charlotte neighborhoods. Charlotte Real Estate investors came from across the nation to tap into the popularity of Charlotte Real Estate but had no idea what they were buying, where they were buying and convinced they were going to make money in spite of their lack of knowledge and familiarity of the greater Charlotte market. These investors watch too much TV.
Charlotte real estate investors felt if they purchased Charlotte new homes for the least amount of money, rented the Charlotte new home for 2 years, they could not lose. The builder warranty would take care of the vast majority of landlord duties and then the Charlotte investor would sell before any maintenance would be due. Here is the problem with that theory (what TV did not tell them).
Each investor seen himself alone making this decision. Reality is they were not alone and investors swarmed on Charlotte in mass (a great growing city at a time when financial investors were giving money to anyone with a pulse). Investors then turned these new Charlotte neighborhoods into rental neighborhoods. The Charlotte Investor failed to consider that if someone was renting at a time when anyone could get a loan, the "renter pool" largely consisted of people that did not care about their credit (or paying their bills). This does not make the ideal tenant.
Ultimately the investors lost these homes in addition to many of the sub prime borrowers. As mortgages in these specific neighborhoods went into default, the values declined. Are the homes worth more than they are being sold? Yes and no. Yes it would cost more to build one of these homes than the current market value. The "no" is based upon the actual market. These homes often need a lot of repairs based on a few years of blatant disregard and abuse from the previous owner and/or tenants. So how about future value?
You purchase a discounted home like you would purchase any investment. You purchase the homes with the deepest discounts because the odds are these neighborhoods will turn around and be full of proud home owners. This will take time for the right home owners to purchase these Charlotte Homes and take control of the neighborhoods. They will likely be great long term investments.
If you still plan on investing in Charlotte Real Estate be very careful if you think you are going to rent your Charlotte home out and it will be appreciating. There are simply too many investors watching the same TV. Where would I suggest investing?
If you have cash and want to invest, purchase land. The greater Charlotte Real Estate region will continue to sprawl. Americans like freedom and many Americans do not do well living cooped up in a city. As the population of Charlotte NC grows, Charlotte Property for Sale will be demanded further and further away.
If you would like to share More ideas of the greater Charlotte Real Estate market visit my Charlotte Real Estate - Charlotte NC Homes For Sale website or give me a call at 704.770.6559. I and a Charlotte Realtor and have a very good understanding of the greater Charlotte Real Estate market. I understand the Charlotte suburbs and understand the pros and cons with the greater area. Give me a call today.
