Looking for a Real Estate Investment? Location Is Key!

by Ann Hayward 10/25/2020

Photo by Andrea Piacquadio from Pexels

Investing in real estate can be quite lucrative, but only with one caveat. In order to make your real estate investments successful, you must keep location in mind. Yes, it may sound cliche, but the location is still a critical consideration when purchasing real estate because it has a direct impact on how well the property does as an investment. Here's how to use location to your advantage when buying investments.

Consider Your Target Demographic

First, consider the target tenant for your investment. Then, consider what that person needs in a home. For instance, if you're buying an investment that's going to appeal to millennials, consider what they want. These adults are typically in their careers and have children or are planning to have them soon, so they likely want to live close to employers and schools. Sometimes access to public transportation is important for this demographic too.

Understand That Schools Are Key

Next, consider where the good schools are located in your area. Schools may not appeal to all of your potential tenants, but they are important in the overall value of the home. Being in a top-rated school district or near top-rated schools makes a home more valuable in general. Don't forget to consider plans for future schools or school upgrades, because investments should be long-term in nature.

Check Out Local Amenities

Is the home near shopping and dining options? Will the residents have easy access to a grocery store? Does it have parks or recreational opportunities nearby? Most of the time, tenants or buyers want these important amenities within a five or ten-minute drive of their house. If you can find an investment conveniently located near local amenities, it will be more valuable than one far from them, particularly if you're going to use it as a rental.

Dig into Neighborhood Safety

While your real estate agent is ethically bound not to talk to you about the safety of the neighborhood, you have many tools you can use to investigate the area. If you notice that an area is high in criminal activity, it's probably not the right one for your consideration as an investment. People want to live and work in safe communities, so researching this aspect will help you choose a solid investment.

Check Public Transportation

If your city has a good public transit system, consider investments with easy access to this. Not all cities do, but this can be a major perk if yours is equipped with one. People who can use public transit can leave their cars at home, and this can help them save money. For some, this is a feature that they look for when choosing a home to rent or buy.

Investing in real estate requires the right strategic planning. To make sure you are ready, research location well. Finding a great property in a great location will help you find investment success.

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About the Author

Ann Hayward

Born in Philadelphia and raised in the suburbs, Ann Hayward got her Pennsylvania real estate license at age 18 even before going to college. This second-generation real estate professional followed in the footsteps of her father and two uncles, inheriting their passion for the business. Licensed in DC, Maryland and Virginia, Ann is accomplished in her career, with numerous designations including SFR, SRES, PSA, WHC, and multiunit Housing Development Finance Professional (HDFP) from the National Development Council. She specializes in Prince Georges and Montgomery Counties, Northern Virginia and Washington, DC, all jurisdictions where Ann has lived and knows very well. In addition to her professional expertise, she owns and manages personal investment property, understands and has been involved in the renovation/remodeling process, and has great resources which she shares with clients. When you hire Ann to represent you, she will make your buying or selling experience an enjoyable, rewarding one. Her compassion, sensitivity to her clients’ needs, eye for detail, and ability to see the big picture when guiding you through a purchase or sale are unique assets that will ensure your success. A diverse and relevant background also gives Ann a distinct edge. For 30 years, she worked in fast-paced, high-pressure television and theatrical production, attaining the highest achievement – DGA membership as a Director, and as an award-winning staff and freelance writer. Her keen audio visual skills and design sense benefit sellers in marketing their properties, and are invaluable in helping buyers see the potential of space. A true renaissance woman, Ann was also an income tax professional and office manager for H&R Block, so she thoroughly understands the tax and financial implications of acquiring and selling real estate. Her superior organizational skills are further evidenced as owner of a downsizing/professional organizing business, Managed For You, which allows her to connect with everyone from millennials to boomers and seniors, whether for small space planning or assisting with major decluttering and transitioning. Ann holds an AB in American History from Simmons College, Boston, plus attended Robert Wagner Graduate School of Public Administration where she was a candidate for Doctorate. She additionally studied Film Direction at the American Film Institute in LA, and was a Stanford University post-graduate Professional Journalism Fellow. Personally, Ann is an avid if not very good golfer, and the co-founder of a nonprofit 501c3 organization offering educational guidance, tutoring and counseling for youngsters from elementary school through college admission. She sits on the board of trustees of a nonprofit educational film production corporation as well. (202) 494-6252 [email protected]