#4: An existing sense of community
Lynch’s advice is actually based on his personal experience. “I recently bought a home in an up-and-coming neighborhood, and it was the best decision I could have made,” he says. As he was searching for the right area, Lynch looked for certain things. He wanted to find a neighborhood with an existing sense of community where he and his family could fit in and thrive. “For my family, our new neighborhood was such a great fit because we enjoyed the vibe of the neighbors, the potential job opportunities based on the companies moving into that area, and the ability to make the house and community we were moving into truly our home.”
#5: Appeal to a larger pool of tenants and buyers
If you’re purchasing a property to flip and then rent or sell, there are several advantages to choosing one in up-and-coming areas. “For one, you have lower initial costs, but you also improve your chances of renting to good tenants or making a quick and profitable sale,” Somoza says.
“Everyone is looking to lower their costs of living, and many are being priced out of the popular areas in today’s rental market. So they’re turning to — you guessed it — up-and-coming neighborhoods,” he explains And this means that you’re not likely to have any problems keeping your property rented. “You’ll also be able to increase rent as the neighborhood becomes more desirable. And you could potentially see buyers competing for an already upgraded property if you’re looking to sell,” Somoza says.