Approximately 63 percent of Americans currently own real estate, making it a much more popular investment option than stocks (which only 52 percent of Americans own).
If you’re looking for a practical investment strategy to help you build wealth faster, real estate is a great option to consider. This is especially true of real estate in the Lubbock, Texas area.
Read on to learn more about the benefits of investing in the Lubbock real estate market. You’ll also learn some great tips that will help you start your investing journey off on the right foot.
1. Affordable Homes
One of the greatest benefits of investing in the Lubbock real estate market is the fact that many of the homes in this area come with affordable price tags.
The median listing price for homes in Lubbock is a mere $144,900. That’s way below the national median listing price of $200,000.
If you buy property in Lubbock, you’ll be able to get a lot more bang for your buck. This frees you up to invest more in renovations or updates that will help to increase the value of your property and make it more appealing to buyers and renters.
2. High Appreciation Rates
The houses in Lubbock may have low price tags, but they also have high appreciation rates. This means that the property you purchase is likely to continue increasing in value the longer you hold onto it.
If you plan to rent out your property or live in it after it’s renovated, you could find yourself sitting on quite the gold mine a few years from now should you decide to sell.
3. Diverse Market
There are lots of different types of houses in Lubbock, too.
Whether you’re interested in purchasing a single-family home, a townhouse, or an apartment complex, there are plenty of options for you to choose from. This gives you plenty of opportunities to think about the type of property you want and what your long-term goals are for it.
If you’re able to invest in your ideal property, you’re more likely to be satisfied with the end result than if you had to settle for a property that only met some of your investment criteria.
4. Great Schools
The city of Lubbock is home to a lot of impressive schools.
This is a major selling point for property owners, whether you plan to rent out your property or sell it. Buyers love to purchase homes or live in areas that have great school districts, and Lubbock definitely fits into that category.
There are three school districts in Lubbock with more than 100 different schools split between them. You and your potential buyers/renters can’t go wrong with any of these options.
5. Homes with Character
A lot of the houses in Lubbock were built before the year 2000.
Many of the houses were built in the mid-to-late 1900s (1940-1999). However, there are also some very old homes that were built before 1939 in certain parts of the city.
Regardless of the specific year in which they were built, these houses have a lot of character and are very appealing to buyers and renters who want to live in a unique home.
How to Start Investing
Now that you’re armed with these real estate facts about the Lubbock market, you’re probably eager to get going. Before you start hunting for the perfect Lubbock property, make sure you understand the basics of real estate investing.
The following are some beginner-friendly tips that will help you to have a great real estate investing experience:
Choose the Right Location
You know you want to buy property in Lubbock. Where in Lubbock, though? Do you want to purchase an apartment complex, or are you looking for a single-family home within walking distance of a school?
There are tons of different kinds of properties in Lubbock, so you’ll have to do some exploration to find one that’s the right fit for you.
Know Your Investment Criteria
The exploration process will be a lot easier if you take the time to narrow down your investment criteria before you get started. Spend some time deciding what kind of property you want to buy.
Think, too, about the kind of returns you want to see from it. If you plan to rent it out, how much money do you want to earn as a profit each month? If you plan to sell, what kind of profit are you hoping to get for the whole house?
Build Your Team
You can invest in real estate on your own, but you’ll likely have better outcomes if you have a team of people working with you. This is especially true if you plan to renovate the property before selling it or renting it out.
At the very least, you’ll need a real estate agent to help you sell or rent the property, as well as an accountant and attorney to help you with the investment logistics.
Secure Financing
Your next step is to secure financing for your property.
If you have an accountant on your team, they can help to put you in touch with a lender who’s more inclined to approve your financing application. They can also help you leverage your liquid assets in a way that makes sense for your current situation.
Promote Your Property
Once the property is ready to put on the market, it’s time to start promoting it. Work with your real estate agent to hold open houses and get people excited about buying it, or list it on rental sites to attract the right renters.
Invest in Lubbock Real Estate Today
As you can see, there are plenty of benefits that come with investing in the Lubbock real estate market. If you’re ready to reap all of these great benefits, now is the time to act.
Keep our investment tips in mind as you begin your journey and you’ll have a much easier time finding a property that suits your needs and helps you to start bringing in additional income.
Do you want to learn more about real estate investment? If so, visit the Money section of our site today for additional investment-related advice.
