Real estate is starting to make a come back as far as investments are concerned. Where there may be a bit of skepticism in the market however, is in Ocean county real estate. During the last few years when the market suffered an economic setback the ocean properties were affected the most. In some markets you could expect at least a 60% reduction in equity. While the reduction only affected if you wanted to sell, if you kept the property you could still see a return.
One of the ways that owners could see a return on their money was in the rental market. If you owned a property prior prior to the 2008 credit crisis you could still see a nice return on your investment. After 2008, in most instances an investor would not recommend buying into a rental market that is near the beach because it could take close to 20 years to see a return or even break even on a mortgage payment. One key to remember in an investment is that you should not buy today what you need to see a return on tomorrow. You hold on to it for the long run and real estate proves this rule.
Whether you keep a property for an investment property, a second home, or a primary residence, now is the time to invest in real estate in Ocean county. In the markets where there was a 60% drop in equity, those owners that need to get out are doing so at least expense for everyone involved. A thing to note is that many banks are starting to loosen their restrictions on short sale loans. This means that if you don’t negotiate with a professional real estate agent, the property you want could be resold by the bank to another investor.
As with any investment timing is important. As the market starts to even out with real estate there are still many opportunities where a good deal can be found. A real estate agent will tell you that with any homeowner, there is a different reason for why they need to sell. Seizing the opportunity is what makes a good investor.
