Sometimes, things just don’t go how a golfer wants. Whether the wrong club was used, the hit was too high or too low or the golfer is playing on an unfamiliar course, many variables can contribute to a shot going in an unfavorable position. However, the underdog story is a popular one and there is nothing better than being able to brag at the 19th hole about a saved shot! This save is known as a recovery, when a golfer has turned a bad shot into a good one no matter how bleak the first impression is.
First-time homebuyers and those looking at up and coming neighborhoods can face this sort of recovery. At first, they may think that buying in a less than desirable neighborhood is a loss but truly it can be a wonderful investment as the neighborhood improves. Here are some reasons to consider an up and coming neighborhood.
Prices are lower
This is probably the number one reason that buyers look to purchase in less than desirable neighborhoods. As the “Location, Location, Location,” rule in real estate goes, an up and coming neighborhood does not really check the box for most buyers who are set on living in certain parts of a city. If a buyer in mostly impartial to neighborhoods, they can find homes with upgrades, landscaping and other perks for thousands of dollars less. Up and coming neighborhoods are perfect for first-time buyers who want to have a nicer home in a less desirable neighborhood as opposed to a fixer-upper in a more popular neighborhood. Home prices in up and coming neighborhoods only tend to stay low for a certain amount of time though, so it is of utmost importance that a first-time homebuyer decides where they want to be.
The redevelopment of up and coming neighborhoods will bring new shopping, restaurants, and more
Sometimes, as neighborhoods clean up, new businesses are also attracted to the lower rents and the possibility of reaching new clients. Very trendy shops and restaurants are known to set up in expanding neighborhoods which means homeowners in the neighborhood now have special perks and fun places to go within walking distance. Commuter lines also tend to come into up and coming neighborhoods which means easier access to all parts of the city.
Prices will increase upon sell when the neighborhood has risen
As mentioned in point #1, home prices in up and coming neighborhoods only stay low for a certain amount of time. By the time more home buyers come into the neighborhood and new commercial spots start to pop up then the overall price of the neighborhood goes up. It may go as far as turning into a trendy neighborhood where suddenly everyone wants to be. This phenomenon happens in every city. In fact, it is not uncommon to hear older people comment on how much a part of the city has changed over the years compared to how they used to remember it. Either way, once a neighborhood becomes more valuable, all the home prices go up for everyone.
If you have any questions about buying in an up and coming neighborhood in the Denver metro area, contact me at (720) 323-4176, I’d love the chance to help you caddy your home search! Alternatively, you can search for homes right here on my website free of charge and without registering. Click here to start an online home search. – Doug
This post is part of an ongoing series where we talk about my two favorite things: golf and real estate! Stay tuned for more golf-themed posts as we go through the ABC’s of real estate and provide helpful tips for home buyers and sellers alike.