Top things to know about Ethiopian Real Estate
Real estate is the property, land, buildings, air rights above the land and underground rights below the land. The term real estate means real, or physical, property. “Real” comes from the Latin root res or things. Others say it’s from the Latin
Study Local Pricing
The first things to study are the current price trends in the area. For example, a potential investor should look to see if the price of real estate is accelerating faster in one area than in others. Next, check to see if the average home price is more than in other neighboring towns. This will provide an idea of where the biggest demand is. Another reason to study these trends is that, over time, you will start to develop a sense for which prices are “fair” for certain properties and which are overheated. For individuals looking to buy properties at the lowest cost possible, this knowledge can be invaluable.
Get Pre-Approved for a Mortgage
There is a host of benefits you can enjoy by getting pre-approved for a mortgage. Chief among them are financial benefits. For example, most lenders will lock in an interest rate for you once you are pre-approved for a mortgage. This can be a help if interest rates start to rise while you’re house-hunting. Further, if you are able to be pre-approved for a mortgage prior to finding your dream home, then you become a preferred buyer in the eyes of the seller: You’ve demonstrated you have serious financial backing.
Look for a Catalyst
One sign that an area is up-and-coming and that it will be desirable in the future is the development of new infrastructure. When you see roads and schools being built, it’s a sign that the community is set for a growth spurt, and investing in a growing community can be very profitable. In addition, certain types of development, like new shopping centers, may be extremely attractive to homebuyers, and may also help keep the tax base low.
Explore Low-Tax Alternatives
If there are two towns side by side – one with high property taxes (or with progressively rising property taxes) and the other with low property taxes – the one with the lower taxes will usually be more in demand.
Realtors can help you determine which areas have the best and worst tax structures. In addition, a simple call to the local tax assessor can reveal how much the town charges in taxes per house. The assessor can also let you know when the last time the area was evaluated by the township.
Also, you’ll want to watch to see if a reassessment is set to take place in the near future, as it may mean that property taxes are about to go up. Beware of towns and communities that are becoming overcrowded; signs include schools filled to capacity and perpetually gridlocked roadways.
Check the School Rankings
Nearly every state ranks its schools by how well students in each district fare on tests in math and English. Sharp-eyed investors should look for schools that are moving up or are atop the list. These areas are often desirable to parents. Access to quality education is a big selling point for homebuyers.