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the URBAN EYESORE that’s selling million-dollar homes | Episode 50

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Wouldn’t you like to know about an URBAN EYESORE that used to send buyers running AWAY but now can bring them running to the closing table? Even better, most investors will AUTOMATICALLY PASS on this “great” location. I’m Carole Ellis. I’ve got all the details today in episode 50.

So wouldn’t you want to know about a location that could lure homebuyers in droves, persuade them to pay triple the U.S. median home sales price in some areas, and was basically an “open-air secret” from most investors? Of course you would, which is why I’m here. I’ll tell you all about it, but first I want to make you aware of a BIG CHANGE that is going to affect the way a lot of you find your deals. It has to do with AUCTION.COM, and let’s just say if you don’t have all the information, you might think that this online real estate platform has GONE AWAY. The truth, however, is much bigger and more exciting (if you know how to take advantage of this MAJOR CHANGE), and you can get all the details in our News & Networking section at www.rei.today/auction. And, maybe even better if you happen to live in the Birmingham, Alabama area, on May 10 or near Miami, Florida, on May 16, the company’s experts are hosting a live, in-person seminar on just how to use their new, MASSIVE system. Get all the information at www.rei.today/auction and, just for REI Today listeners, you can register for that live event for FREE if you mention this show!

Now, back to the urban eyesore today’s homebuyers LOVE…

You know that in real estate, the old saying goes, “Location, location, location.” Historically, conventional wisdom has dictated that certain locations are particularly attractive – you know, lakefront, beachfront, exclusive communities, etc – and that certain locations are, well, less than attractive, such as homes near airports, train tracks, and freeways, which tend to have noise pollution in spades and often be less than ideally pleasing to the eye as well. However, two of those three locations are getting trendier all the time, and it’s not just in cities where the real estate prices in prime locations are too astronomical for the average American to afford. Homes near highways and train tracks, once considered last-ditch options that would certainly be far cheaper than anything comparable elsewhere, are now pulling in respectable sales prices all over the country because of the urban access that they usually represent.

This trend of building lots of highly desirable houses in areas that didn’t used to be so geographically desirable is called “in-fill” and it can give a real estate investor a huge advantage if he or she is, well, in the know. In-fill is defined as the process wherein developers buy land in a traditionally unattractive areas – trash-filled lots, older buildings adjacent to train tracks or highways, factories, bowling alleys, or other buildings that historically would be in those locations because the noise didn’t matter so much, and tear them down to make way for mixed-use or even just residential housing. These areas usually are within prime walking distance of shops, restaurants, and other conveniences already, in addition to having great public transit access of course, and that makes them highly attractive to young, well-paid professionals who value location and walkability or bikeability far more than they mind the dull roar in the background of their lives.

So how can you leverage your knowledge of infill to your advantage as a real estate investor? Well, for starters, probably the biggest advantage you now have is that you possess information about this location that most buyers and investors do not. Sure, in cities like Los Angeles or New York, it’s pretty common knowledge that people will buy just about anywhere you can build. But you can also use this knowledge in other attractive metro areas – particularly cities with a large influx of millennial buyers and young professionals heading in their direction, like my own hometown of Atlanta, for example – to spot prime locations for rehabs, flips, or even development that you can get at a discount. Check out what the senior vice president of research at John Burns Real Estate Consulting, Jody Kahn, said about this topic. She recently said in a press interview that Cleveland and Philadelphia are prime areas for infill because and I quote “everybody is moving from the suburbs into the city” in these areas. John Burns is one of the biggest names in the business, and Kahn added that they’re advising developers everywhere to consider this “urban eyesore” opportunity.

Here’s something you must remember, however, when you’re buying in locations near highways, train tracks, or other conventionally unattractive areas: Check out the mass transit options, the walkability and bikeability scores for the area, AND crime levels before you buy. These are things that your buyers are going to care about even if the noise is not, and you must be able to demonstrate that these attractive advantages are present in your traditionally unattractive location. Get all the details about how to do this from our special report, “REI Today’s Guide to Buying Near Urban Eyesores” which was just released in the REI Today Vault. You can head right on over to www.rei.today/vault to access it, or if you’re not yet a member, text REITODAY no spaces, no periods to 33444 and I’ll immediately send you the information you need to get that access and ALSO provide you with fast, immediate access to all sorts of great trainings, news coverage, interviews, and lot more timely information that will help make your investing safer, faster, and more profitable.

And remember, when you do that, you’ll also be able to GROW YOUR NETWORK by interacting with me and your fellow listeners to REI Today… so stop by to ask questions, make comments and network with other investors across the country. Text REITODAY no spaces no periods to 33444 or head over to www.rei.today/vault right now.

REI Nation, thanks for listening in and always remember this:

Your best investment is your own education.

About the Author

Carole Ellis is the host of Real Estate Investing Today, a popular 9-minute daily podcast focused on educating real estate investors about the important topics that will make their investing SAFER, FASTER, and MORE PROFITABLE. She's also the editor of the Bryan Ellis Investing Letter. She has more than a decade's worth of experience in and reporting on the real estate industry and, additionally, has written dozens of courses on the topic. Carole lives in Kennesaw with her husband, Bryan, and four children. She believes wholeheartedly that your best investment is always your OWN education.

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