Buying Luxury Real Estate for the Right Price: 3 Tips To Get Started
Are you looking at buying luxury real estate, but you don’t want to pay full market value for it? If so, you’ve landed on the right page. I’ve put together a few of the best ideas for buying luxury real estate for the right price. These suggestions are vital in giving you the competitive edge to land a deal on some luxury real estate.
I share these ideas with confidence because I have either witnessed or had first-hand experience of landing deals by leveraging transactions with these tips for buying luxury real estate for the right price.
You Want Luxury Real Estate, but Not the High Price Tag
You have a goal of owning a nice piece of property, but the high price tag makes this aspiration of buying luxury real estate seem unreachable. Just because you don’t want to pay top-dollar for your dream property, doesn’t mean you can’t afford to live in a luxurious home.
When you learn and apply these tips, you will be able to achieve your goal of buying luxury real estate for the right price. It is possible.
3 Best Tips to Get You Started
Check expired listings, look at properties that have been on the market a while, and connect with an agent who works in the area you want to buy real estate and let them know what you’re looking for.
You may feel this seems silly, thinking since a listing has expired that person may not want to sell their property or something is wrong if it’s been on the market a long time. More times than not, a property hasn’t sold because it is simply priced too high. Since either a lot of time has passed or the listing expired, the seller may be willing to sell for a lower price.
For example: There was a family of adult children who inherited hundreds of acres of land from their parents. They sold several tracts at top dollar, but still had one large tract of 900+ acres that hadn’t sold after being on the market a long time. The sellers were willing to let go of the property for a lower amount of money and decided to drop the list price by 50%.
At the same time, there was a couple who was in the market for recreational property to enjoy with their kids and grandkids but had a certain price point they wanted to stay at. They talked with an agent who was aware of what they were looking for. When the price dropped on the 900+ acre tract, it was within the buyer’s budget, so the agent shared the listing with them. The couple recognized the deal of a lifetime and fell in love with the place. Their search was over, and the property was under contract within a week.
Pay attention to the homes that need a little TLC and be mindful of the potential of what they could become.
If you want to buy luxury real estate at the right price, you will have to think outside the box. A property that’s put-together with all the shiny bells and whistles will come with a fancy price tag. A place that has the strong bones and characteristics of becoming something grand is what you’ll want to focus on. Be willing to invest time and money fixing the place up, so that when all is said and done, you have a nice, luxurious real estate property.
For example: There was a large family in need of space for their children to run and play. They kept an open-mind and snagged a deal on some land with a large home on it. They were able to get the property at such a good price because it had been damaged by a tornado and sat vacant for several years. They put in the effort needed and now have a luxurious place to call home.
Pro-Tip: Stay away from mass-produced track homes because the value is based on the going rate of the homes in the neighborhoods they’re in. You’ll want to stick with custom homes because they tend to show their worth more after they’ve been fixed up.
Make a cash offer and accept the property “as is”
We’ve all heard the phrase, “cash is king.” It may sound cliché, but that’s because it’s true. In the real estate game, you can easily leverage a deal and snag the property you want simply by making a cash offer. It’s not uncommon for cash offers to be accepted below list price, because cash cuts out all the red tape, which can lead to closing the deal sooner.
Also, by making your offer more attractive, you add you’re willing to accept the property “as is.” This means that you won’t be asking the sellers to make any repairs before closing the deal. This can be a huge weight lifted off the sellers as sometimes not having to deal with as much hassle in a transaction is more appealing than making more money off a property.
For example: There was a couple in the market to buy a second home. They found a lakefront property on 12 acres they liked but didn’t want to pay the full price. The buyers noticed the property had been on the market a while and had cash ready to go. In fact, they were willing to risk the seller saying “no” and low-balled with a cash offer and included they were willing to accept the property “as is.”
You see, the seller was actually a widow who was ready to move on to the next chapter in her life. She had been trying to sell the property for a while without any offers. She accepted the buyers’ low-ball offer because closing this deal was easy with minimal stress and the property closed two weeks later without any issues.
The Last Thing You Need to Know About Buying Luxury Real Estate for the Right Price
It’s usually going to take some time, so I encourage you to be patient in your search for the property of your dreams. It is possible to buy luxury real estate for the right price!