Either can make you money, but have you really considered everything when evaluating the risk versus reward of each?
They inevitably have read something online or heard about someone through their personal grapevine that has made a lot of money doing so. The general context of these discussions is that it’s “so easy” to make money doing this.
Hmm, that sounds vaguely familiar, doesn’t it? Didn’t a lot of people say the same thing about the stock market in the 1990s – right up to the tech bubble bursting? Or how about how “easy” it was to make money in real estate in the 2000s – right up until the housing bubble burst?
It can be relatively “easy” to make money investing in Detroit & area Suburban properties if you know what you’re doing or working with someone who does. FYI – we’re going to assume that anyone deciding between investing in the city versus the suburbs has already researched the pros & cons of investing in real estate in general. So, what are issues potential investors should be aware of when considering investing in real estate in the City of Detroit versus Detroit area suburbs? Let’s list a few (in no particular order):
City of Detroit
The real challenge for an investor is figuring out:
–The specific risks they can handle
–The risks they aren’t comfortable with and should avoid
–Do the potential returns justify the risks?
–How will they manage the specific risks
–What reserves do they have to absorb any risk events
With real estate investing in general, we see too many people not doing their homework or putting in the effort to really understand the risks of investing. Often, they contact us for assistance after their attempted investment has turned into a train wreck. Most of these same investors should have looked to partner with an experienced investor (like us) or just lent their funds out to an experienced real estate investor (like us) for a nice return.
If we can be of assistance in answering any real estate investing questions, feel free to contact us. Be sure to also comment on any pros or cons we may have missed, or if you disagree with any of ours.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.