There are many reasons why people are afraid to invest in real estate today, especially if you are clueless to what drives local value and economic growth. From legal complications, to the current real estate local leading economic indicators, there are so many things to be worried about when purchasing real estate. Becoming much more informed may help you, and this information can help you do that. There are lots of ways to define what local economic growth means.
Besides the below, you can find more info in our FAQ section. Most blogs and website, leave this answer vague and undefined. Probably because they do not have access to local data. For instance Trulia http://corp.truliablog.com/2008/09/12/just-like-the-weather-real-estate-is-localFor instance Trulia talks about local as if Local weather. Local economic growth data is not like weather data, there are over 400,000 local markets in the USA, and I doubt if there are that many micro climates
At the Core of all Real Estate Investing is Local Info and Local Economic Growth
City Data, County Data, and MSA Data is important if you are going to buy a City, County, or MSA, but very few investors can afford to buy these areas, even Donald Trump. So what matters is local.
By Local mean the most hyper-local boundary sets or levels. And these are: The Block Group, The Census Tract, and sometimes the Zip Codes. Together these make up over 400,000 local markets. So at the core, is the latest economic growth trends and every changing monthly data within these local markets?
Without local economic growth data, the investor is either flipping (not investing) of hoping that the local market has a trend with the free macro data, which usually it does NOT.
The Next Steps for Investing and Local Economic Growth Analysis
When you are planning on making an investment in real estate, keep your real goals in mind. Determine if your goals are short or long range goals. Don’t consider properties that is irrelevant to your pre-determined criteria. A lot of owners make compromises and end up making poor investments. Collect facts and figures about your local housing market and economic growth.
A good location may help a property rise above other problems with good products can put you on top even if the area. Look at key economic indicators or leading economic indicators such as criteria such as the zip code growth in median income and wealth or what is more commonly called Net Worth growth.
And rising jobs, migration, and lowing vacancy rates at the Block and Track levels.
If you want more comfort in buying property, you need much greater familiarity with the process. And Growth Maps and critical local economic growth analysis tools should help you a lot. Your comments are most welcome, and I appreciate your feedback