Investment Real Estate – Cobourg
Buying real estate in Northumberland has always been a great investment. Many home owners in Cobourg, Port Hope and really all over Northumberland have been able to invest in a second or even third property for income. Holding these properties over the years generates income and builds equity. There can be tremendous pride in having another piece of real estate make your life a little easier.
Selling An Investment Property
Often times helping Northumberland property and real estate owners sell off these assets can be a challenge. Experience has shown that because these are emotional experiences for the owner, at times there is less motivation than the market needs. Arriving at a market value can be difficult. Over the years the owner may have created an image of an inflated value. Sometimes we seen that as the owner aged, maintenance was differed ~ causing a depreciation that was not recognized (but will be). It can be a real struggle for a person to see through clear eyes what a property is actually worth on the open market.
“If we can’t get our price”
Getting to a price the market can support can be a process. Sometimes is means testing the market at the dream value first. Listing the property at a value that the owner feels they need to get in order to feel good about selling. But so high there is very limited or even no activity from other buyers. At times during this stage we may see an “insulting” low offer. You don’t want to upset anyone, but not helping them understand reality isn’t helpful either. Over time, it may sink in and the owner may recognize that even in Cobourg or Port Hope their property will not get the price they were hoping for and they will adjust.
“We’ll leave to the kids”
This is when things can get a bit scary. As generous as it sounds. The children may not be interested in inheriting that piece of property they watched mom and dad nurture all those years. They probably have lives of their own, children and hobbies. They may not have an interest in being a landlord. Maybe they don’t even live in the area. Taking over a property may be the last thing they would ask for. When an owner feels leaving the property to their kids is the best strategy – we always suggest they ask the kids.
A Child may be happier and more thankful for the actual market value in cash as opposed to the inflated value in a building.
But more times than not the children say – take what you can get and enjoy the money – don’t worry about us.
That seems like the best answer.
We’re here to help.