Uncovering a Best Buy Property!

There are number of ways to determine if a property is a best buy. As previously mentioned there are three popular approaches: 1.) for investors, rental property that yields a positive cash flow with minimal down payment. 2.) Property where the asking price is substantially below like kind homes that have sold within the last six months. 3.) Property where the quality or condition is above average, in a highly sought after area, in a neighborhood where the inventory for sale is relatively nonexistent and are selling at or below market value.The following is an example of the first approach. In Waikiki, Oahu there is a unique category of property called condo-hotels. These are hotels where the rooms in most cases are privately owned and leased back to the hotel or to a management company. However, some find it more profitable to manage the units themselves. Some of the more affordable and attractive buys are studio or one bed room units that have full kitchens.

In today’s market condo-hotels have unique financing issues. Due to various stigmas associated with transients and other uncertainties banks are reluctant to provide financing. As a result the prices for these types of purchases have dropped considerably. So in order to get into this lucrative market cash offers and seller financing is the order of the day. For those individuals who are able to maneuver in these waters it can be very rewarding. If you are interested in learning more about this unique market please feel free to contact Abron Toure at the Coldwell Banker, Waikiki Office my cell is 503 475 6872. Mahalo!