Over the past couple of weeks, while studying various locations throughout great America, I discovered that there are still a great number of individuals still making a profit in the property sector.

During such a trip far up through Florida coast, it struck me that even under the worst situations, like the storm “Irma” that recently hit the USA, and this storm had been recorded as a second strongest hurricane to hit the Atlantic region. With wind speed reaching up to 185 mph, the hurricane had slammed into the Northern Caribbean threatening life and had caused massive floods.

Be it a cyclone, a tropical storm or a twister that strikes, it is unfortunate to endure such fate however it can be a blessing in disguise or an opportunity for investors to capitalise on these misfortunes and rebuild the torn state back to its glory days.

This unfortunate storm hit locations leave us with one prime thing to think about “the Place itself” and rebuilding these places leaves only one distinct characteristic which is, it will eventually lead to a sound investments strategy to capitalise on these unfortunate times.

While numerous financiers study markets thoroughly prior to investing in them, others are having their financial investments improved by living it to natural elements like those above.

Typically, a popular location of a property has a direct relation to price, and the price would normally be about 10% ~ 15% higher in these areas compared to the surrounding areas and this heavily relies on a property per se at a popular location. If a residential or commercial property is centrally located, then, in theory, one should see an uptrend or more likely the take-up rate would go up over a period as compared with homes at a surrounding or distant place hence the price would spiral upwards.

These may sound as outrageous claims however I will elaborate more as you read below. There are a couple of things that you may reconsider as these opportunities emerge;

1. Have ready capital to make a financial investment immediately or find legal ways to obtain this capital to make this financial investment.
2. Have a comprehensive understanding of the property market and the location where you are intending to acquire the land or property.
3. Go to where these catastrophes are and find out people who are not restoring these homes or go to insurance companies who have direct contact with these unfortunate people in hard times and offer a service.

Some of these people are keen on bringing back these damaged houses back to its original state or sometimes may have wanted to do an “Alteration or Addition” to make the houses better than its initial condition itself, through their premiums and within their financial means.

1. Find a residential or commercial property inspectors or property managers in these areas, you can collaborate with them to assist you to identify these defective units in the residential or commercial property prior to you purchasing them.
2. Alternately you can simply look at the papers, public libraries, websites or merely participate in any forums or city board conferences to know more about these markets.
3. If you have access to some handyman services or home supervisor or people you know who can do these work, contact them or you yourself if capable of doing this repair work yourself will be good.

 

As stated above, the location or area is the primary aspect that identifies these real profits or Returns on Investments to be made, therefore research or in-depth study is required prior to making any such financial investment in these locations and a word of warning, do not engage in this activities without doing any research.

1. Ravaged locations by typhoons, tropical storms or storms are highly prone to have rental spikes immediately after restoring stage is over, and these brand-new or re-built houses coming back into these locations, one can expect a spike in price too.
2. Although it might not be easy to find these damaged or catastrophe hit homes or homes due for foreclosures at a lower price, if you persist at it, you will eventually be rewarded tremendously.

As I travel up far north, with spare time on my hand, please tune in regularly and I promise you will I will share a few more tricks with you on how to identify these goldmines.

So, when you hear of catastrophe, it may be a call to you to do your bit to the society and succeed.

And if all else fails you can always purchase a ready built home like the ones in Gem Residences Toa Payoh

All the very best with your search