Preconstruction Investing

Comments(6)

• 
  bargain7619th January, 2006

  To make money in preconstruction you need price appreciation in the market you choose.
  
  Some areas of Florida are still showing a decent rate of appreciation in the more modestly priced homes. Others seem to have peaked for the moment. What areas are you interested in?
  [addsig]

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  rtowns5020th January, 2006

  bargain76,
  
  I have been doing some research on FL pre-construction deals as well. I have heard good things about Jacksonville lately around I-95 and the airport. A partner of mine made 100K off 2 pre-construction duplexes in Lehigh Acres, but he said that he thinks that things are slowing down. I have been looking in Stuart and Port St. Lucie. What do you think about those areas?

• 
  Unikeone20th January, 2006

  Bargain 76,
  
  Thanks for the prompt response!!
  
  I have been doing research on West Palm Beach mostly condos; what do you think about this area? What about condo conversions??[ Edited by Unikeone on Date 01/20/2006 ]

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  Stockpro9920th January, 2006

  I have seen more investors lose $ in preconstruction than anything else. There are guys who will bus you around and set you up in a deal but in reality you have 10K in equity not the 30-100k they talk about.
  
  I am a fan of investing in what you know, when I have got in to trouble it has been when I invested before learning about that particular aspect of investing.
  
  If you get the front of the wave in a rapidly appreciating market then you could do well, unfortunately most are trying to jump on a moving train that is pulling into the station
  [addsig]

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  sirbeigealot25th January, 2006

  Has anyone looked into Myrtle beach preconstruction?
  
  I was pursuing that for awhile....alot of growth down there...cheaper than Florida.

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  tinman175525th January, 2006

  The rates you were quoted are correct as far as I know. If you want a better rate you will need to put more money down. I look at investing in two ways when I buy a house. Am I looking at the appreciation and the long term gain, or do I need to cash flow on this propety in order to survive. If I would ever need to cash flow on a property imediately to keep up my standard of living I would pass on it.
  
  I have many multiunits and I would rather have many families under one roof. So I would rather buy a multiunit anyday instead of a sfr.
  [addsig]