So looking back now I see that my current home was not the best investment. It is my first house so I have learned a lot. So my question now is how can I not make the same mistake in my next purchase. How can I buy a home that I will later actually be able to sell if needed? For example, even in today's economic times there are people out there who are able to sell their home after it has been on the market for less than a week. While others have had their homes on the market for a year and still can't sell. What should I look for to make my next home purchase a good investment?

It's easier to sell when you've made a LARGE downpayment - that gives you flexibility in pricing when you sell; but, how many people do YOU know that even put 20% down? There was a time in life where, other than having VA benefits to purchase a home, 20% down was REQUIRED.

Purchase what the majority of people want - 3 bedrooms, 2 full baths minimum (one in the master bedroom), family room (and rec room); or living room and family room - either of those combinations - something where kids can hang out but the adults have a place too. Not on a busy street; not near anything that you can't change, i.e. railroads tracks, high-tension electrical lines, not the entrance to a neighborhood; many people want a garage; some want a basement (and the vast majority want it finished - doesn't have to be fancy - four drywalled walls is a good start); you can always probably add a garage but it takes a heck of alot of money to add a basement.

The more of the basics that you can afford, the greater your number of buyers. Don't splurge on getting that house with the pool unless you live in a state that has alot of warm weather and nearly everyone else in that neighborhood has a pool because most don't want to deal with a pool.

Common sense stuff. The more you go outside of the 'usual' the less buyers you will probably have when you sell. Compare those homes in your area that have sold to the ones that haven't sold - there's something there that makes one preferable over the other.

Let me add a story of 1994 when housing was in a down market (the savings and loan scandal helped with that I believe). I was selling my townhouse (which had 20% down payment) for $10k less than I paid. Mine was an interior unit, no fireplace and a walk-out basement. The buyer for my townhouse wanted an end unit, a fireplace and a fully underground basement (no walk-out). Why did she buy? It was the cleanest house she'd ever seen. Maybe that's the whole answer to your question right there.

Yes iI agree with you and thanks for sharing this

Start with a very experienced Realtor that knows your market...just curious but did you buy FSBO or from a builder/sellers agent on your first home?

Houses that sell in less than a week (and I just sold one) are the absolute BEST in their price range, and priced to sell.

The first thing you have to do if you want to live a happy content life is to stop looking at your home like an investment. It is your home first and an investment way down at the bottom of the list.

If you want to be successful in your next home purchase, just make sure it is in a neighborhood where you would be comfortable spending the rest of your life. If you pull this part off then the investment part becomes miniscule.

If you insist on looking at your residence as an investment first you need to understand that real estate is a long term investment. If you can stay in a place 10 years then you can pretty much ride out these recessions that repeatedly happen every 10 or so years. Other than that, location is probably the most important factor affecting a homes value.

Your home is an investment in quality of life. Statistic shows that real estate investments doubles in value every decade.

Everything has a price. Rail road tracks in your back yard will make your home sell harder and price lower.

Well priced homes in top condition sold fast 2011. Agree with previous poster. The cleaner, the better.

Thanks guys Great community..
Is there beneficial to investment in Real Estate?
What about you?

Could you re-phrase your question?

Investment in real estate is beneficial?

Yes, investing in real estate has been beneficial to me.

I plan to finance my retirement, in large part, through owning rental properties. So far, that plan is paying the bills nicely.

Be careful what you buy. Don't buy anything you wouldn't personally live in (if for some reason you had to). Don't buy in a neighborhood you wouldn't want your kids/grandkids to play in. Plan for maintenance and then maintain your investment properties.

Treat your rental business that way, and it will take care of you.

Finding a property at the right price is key in purchasing investment real estate in today's market. It's also important to price your property competitively in your market.

You should consider the area... If the house is at such place have all the facilities available there like transport, hospital, schools then it is very easy to sell such houses.

The others have given some great answers.

The most basic would be if you want an investment then buy it the same as you would an investment. I have sold many homes to people with that kind of thinking, the bought at a wholesale price and rehabbed with an FHA 203k loan so had a profit and equity built in. Though it seems like the average buyer would go for this, the truth is most cannot go to the mindset, they see junk, not the dream house they had their heart set on.

Paceryder, I finally have to ask you where did you get the photo you use? It looks exactly like my first fiance and it reminds me of her everytime I see it. She dumped me, which turned out to be wonderful thing, I met my lifetime love a year later and so far 52 years of heaven, of course we only contracted for 75 years just in case one of us wants out later. That is an inside joke, a couple was interviewed by the local paper on their 75the anniversary and a year later they got divorced, said enough was enough.

As far as i feel you make a strategy to invest by your current home in which you are living. If so then i would not be in favor of this kind of investment until if it consider that you are living alone because you might get a bundle of suggestions to act upon and finally do a good deal but i do not think so any one would like to shift again and again as the property prices never remains the same.