Park City real estate, like else where in the country, is experiencing a buyers market. Most of the people I have been working with lately are in search of a “great deal”. To many people this means a property that is priced below previous sales. This is certainly one element to consider but we have also been finding value in another area; the remodeled property that is priced at or just slightly above previous sales.
When the market was in its frenzy with multiple offers and not enough sellers many people saw the increased equity in their Park City home or condo as an opportunity to renovate their home. Investors jumped into the market with the intent to buy, fix and flip a unit. But markets change and some investors entered the market at the end of the cycle. As a result there are properties in most areas that have undergone extensive renovations and can be a much better value than one that is just “priced to sell”. You may be able to buy that “fixer upper” at a discount but after your remodel will you still come out ahead? The answer is often no.
We think you can find some strong values in investor owned properties. These people, while seeking to maximize their returns, may be willing to break even or sell at a loss in an effort to free up their cash and “keep their money working” via other investment opportunities. Some people, myself for instance, who have remodeled their primary residence will usually decide to stay put unless they have to relocate for work. See blog post of April 21, 2008
The advantage of buying remodeled homes and condos is two fold. If you decide you want to own it long term you don’t need to do much to bring it up to today’s standards; it already has the granite counter tops, fresh paint, new carpet and nice cabinetry. So, when the market moves up and you decide to sell the property it will be positioned ahead of those that have not undergone the renovation. In the interim, you don’t have to do the work and/or live in a construction project.
So when you are having the http://www.youinparkcity.com/ group help you find a best buy in the Park City real estate market don’t be surprised if one of the opportunities we uncover isn’t necessarily the least expensive.