This may sound counterintuitive. It is not.
Before purchasing an investment property, ask:
- Who could buy this from me later?
- Will the property appeal primarily to investors or end users?
- How much similar inventory may exist?
- What could make my unit more desirable?
- Are there restrictions affecting resale?
- What costs could arise when selling?
Liquidity Matters
Real estate is not a stock that can necessarily be sold instantly.
An investor should therefore understand both the potential return and the potential route to exit.
A Good Entry Deserves a Thoughtful Exit.