If you’re looking for real estate investments now, you probably will have to go beyond residential properties on the East and West Coasts, where price appreciation has been spectacular. You might be surprised to learn that office markets have done poorly, in certain areas, so good values still are available. Shopping centers and warehouses also may be good buys, in some parts of the U.S.
* One option is to buy a commercial property or an apartment building that’s fully-occupied, generating consistent rental income. Such real estate investments are highly-priced, though, so there’s little room for improvement.
* A better tactic might be buying investment property that’s still a work in progress. Such properties need development or improvements before they can be sold properly.
If you live in an area where real estate appreciation has been modest, ask your lawyer, accountant, or financial planner for leads to promising real estate opportunities. Otherwise, get in touch with friends or relatives who live in such regions. Before making any investments of this nature, have a professional advisor check into the background of the people who’ll be responsible for adding value to the property.
