Phoenix is probably many investors’ favorite city these days

Phoenix is probably many investors’ favorite city these days, thanks to a booming real estate business and massive appreciation in the area (up 41.24 percent year-over-year for distressed properties alone). Buying a fixer-upper property in this area could be more difficult than in most because there are only about 763 of them in the area according toRealtyTrac, but if you feel like you are about to miss your window of opportunity to buy in this burgeoning market then a fixer-upper, which has an average value of $62,574 in a city where the inventory is declining and median home prices are coming in around $181,399 (June 2013), then a fixer-upper might literally be your last chance to really dig into this area before what some analysts warn could be a nice real estate bubble drives prices out of reach for investors[3]. Of course, any time you hear the word “bubble” you need to be careful, but unemployment numbers as of April around 6.6 percent seem to indicate that at least for the time-being, Phoenix will continue to be a buying destination for owner-occupants even if the investors start to clear out[4].

Remember, the BEIL “Hot Markets” lists are compiled for educational purposes only and are not intended to be taken as financial or investing advice. As with any real estate investing strategy, you need to do some serious research when you buy fixer-uppers just as you would for any other property purchase. What do you look for when you are buying to renovate? What key factors are mandatory for you when you are in the market for a good discounted property?

Thank you for reading