How to Find a Good Real Estate Deal


Diamond in the rough / how do we find it? / Home properties

Every home buyer becomes frustrated as they attempt to decipher all of the advertisement, home ads, internet websites, and realtor promotions and maybe, even the newspaper ads. However the newspaper ads are certainly becoming a thing of the past.

We are all inundated with so many different advertising schemes and clever attempts, that is has now become a case of what is real, and what is simply another method of trying to entice us all, into making a decision that benefits others and not necessarily ourselves.

Again, I admit that I am very tainted by the entire real estate marketplace, and make many comments regarding the need to remain cautious due to my very lengthy experience in the construction industry.

It is my opinion, that the following parameters should be used to guide any home buyer when attempting to find that “diamond in the rough

The first acknowledgement and realization, is whether this is the type of property you are actually looking for??

Test yourselves based upon the following comments.

  • What is your ambition level? What are you ambitions, if you find this “diamond in the rough “? Are you the type of person, couple or family that is willing to sacrifice and focus on the work that is required to further your “diamond in the rough “.

 

  • What is your professional ability to further your “diamond in the rough “ ? Although this comes second to the first comment, your ambition level, the awareness of the techniques and skills required to further you find will allow you to more easily advance the property . I stress that the skills and talent are not required, the ambition is required and the skills and talent come second, however an initial ability will make the task that much easier.

 

  • What are your personal tolerances for lack of creature comforts? Are you the type that demands hot water every morning, railings on the stairs and lack of drafty breezes wafting into your bed-room? Does the thought of termites, mold or rotten wood make you sick, or does it fall into the category of interesting and challenging? Be clear and honest, because if you kid yourself now, your attempts to move the property forward will be more than the challenge you can survive.

 

  • What are your limits on patience? Do you want everything NOW, or can you wait and be patient? If you want it NOW, do not look for that “diamond in the rough “.

 

  • What is your creativity agenda? Have you been creative all your life, have you always strived to make something of nothing, have you always insisted that you can come up with a creative alternative? If this is not your focus in life, then do not attempt to find and improve that “ diamond in the rough “
  • Are you a half full or half empty type of person? This is so important if you are truly looking for the “diamond in the rough”. Your demeanor and personality is vitally important in the successful advancement of a “diamond in the rough “. It is important NOT to kid yourself. Who are you?

 

  • If you are a couple, are you both on the same wave length, or do the two of you look at the entire aspect of a home differently. This is so important, that as a couple you are both looking for the same thing. Finding the “diamond in the rough “is difficult enough, creating something other than the roughness of the find, is something else. You must both be focused that this is what you want.

OK, so now you have decided that the “ diamond in the rough “ is where you want to go, in terms of finding a home or a property. Now what?

What are the important aspects that must be considered when looking for that “diamond in the rough “?

  • Location, location, location!! Ha-ha, I hate to reiterate this basic parameter of the real estate market over and over. However, it is so true. Please do not downplay the importance of the location of the property. IT IS EVERYTHING!! I will refrain from stating personal experiences that will prove to you that location is everything in the real estate marketplace. But please trust me on this!! You can attempt to argue the real meaning of why you would spend double for a similar property in one place, as opposed to the other, yet it occurs every day. Location is EVERYTHING!!

 

  • Neighborhoods come a close second to location. Yes, every neighborhood can change for better or for worse; however, the neighborhood as it exists is where the neighborhood will be for the next several years. Find a “diamond in the rough “in the proper neighborhood and in the correct location, and there you have it. Yes neighborhoods can, and will change, but if you are putting your hard earned money into that “diamond in the rough” why not in a good neighborhood?

 

  • What are you actually getting? When looking for that “diamond in the rough” how much money are your willing to invest in the establishment of the final outcome? What aspects of the “diamond in the rough “will you accept and eventually invest in improving? If you are actually looking for this “ diamond in the rough “ what are you willing to invest to make this property what you want it to be?

So you think you found your diamond in the rough, now what?

  • Do not advertise your findings. There could be various aspects of your find that others would like to take advantage of. It is difficult to keep quiet when you are excited about a find. However, please make this a private matter and keep it to yourself.
  • Look at all of the aspects of this “diamond in the rough “find. Do you really want to make the commitment, and do you want this aspect of responsibility and requirement for hard work to take precedent over your life, for the next several months, or even years?

 

  • How low can you offer the seller, to successfully purchase this find, and not blow it? This is an important and difficult aspect of purchasing the “diamond in the rough”. How low can you go, and still purchase the property? Do not allow emotion to guide you one this aspect of the process. Look at the reality and practicality of the entire purchase. It is always better to offer less and come up than to offer too much and have it accepted.

 

  • Where is the money going to come from? If the identification of the “ diamond in the rough “ is found in a neighborhood that the bank does not consider appropriate for funding, then an entire different issue is encountered. It is important to identify all of the aspects of your “diamond in the rough “selection and realistic succession after the find. If you can’t get the money to purchase your “diamond in the rough” then what happens?

In summary, the process of looking for that “diamond in the rough “ when it comes to real estate must be addressed with experience and knowledge. Today’s real estate market is full of developers and individuals that use this market as a means of making their money. Do not ever think that a “diamond in the rough “will be privately discovered by yourself and no one else. However, there are different aspects of everyone’s knowledge and understanding of the real estate marketplace. I am still of the opinion that there are legitimate “diamonds in the rough “that will provide a positive financial position as well as a very successful real estate property. It is up to the individual that is looking for that special place, with the correct value in the proper location for the buyer, having nothing to do with the entire real estate marketplace.

Good luck, there are many real estate markets, many buyers and many sellers. Hopefully you will be successful in finding that “diamond in the rough “for you, and you alone.

Good luck and go get that “ DIAMOND IN THE ROUGH” !!