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Improvement Of A Foreclosed House Essay

900 words - 4 pages

The housing market in many parts of the United States is exceedingly distressed. The foreclosure rate in these areas is the highest it’s been in decades. The area I live in may be the worst example of this. The South Florida real estate market was one of the hardest hit areas of the country during the recent depression. If given 150,000 dollars I could turn a good profit for myself and the community.
My college education in civil engineering and my experience in the construction industry give me a distinct advantage over the typical buyer. Many buyers look for luxury options that are in some cases very easy to achieve with little investment. The property I purchase would not need to have crown molding, wood floors or a new kitchen. While all of these features are desirable, one of the best ways to profit off of a property investment is to buy a property that needs work, and to then complete these items. The most important things to focus on when buying a property is the number of bedrooms and bathrooms along with the area the property is located in and the square footage.
If given 150,000 dollars I would purchase a townhouse within a mile of the beach. The property would need to have at least two bedrooms, two bathrooms, and the association fees would need to be low. One of the benefits of having townhouse in South Florida instead of a single family home is the homeowners insurance. In townhomes the homeowners insurance is included with the association fees. For single family homes the insurance is paid by the owner and rate increases over the past ten years have made insurance rates very high, in most cases several thousand dollars annually and rising. Another benefit is the shared amenities that may not be available in a single family home at the same price. These features will allow my townhouse to be converted into a rental property if my future takes me out of the area after graduation.
When buying a townhouse I would look for maximum size and proximity to the ocean, probably in the City of Aventura just north of Downtown Miami. I would search for a foreclosure or shortsale property in an upscale neighborhood that has been neglected and needs cosmetic improvements. After purchasing the property I would renovate the kitchen and bathrooms. High quality discount priced materials can often be found through websites such as Craigslist or at stores such as the Habitat for Humanity Restore to keep costs to a minimum. The renovations would be completed with energy efficiency and sustainability in mind. ...

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