Which Property Type Gives you Maximize Return on Investment?

[solidoakreturns]

Question: How do you determine which PROPERTY TYPE will have the highest appreciation in a given town/city?

I would think its based on SUPPLY and DEMAND. If based on Supply/Demand which Property Type is the Best and Why?

a) 1 Bedroom Condo Apt
B) 2 Bedroom Condo Apt
c) 3 Bedroom Condo Apt
d) 3 Bedroom 2 Bath Condo Town House
e) 3 Bedroom 3 Bath Town House
f) Semi Detached
g) Single Detached
h) Duplex/Triplex/Fourplex
i)
j)
k)
Property Type:
Town/City:
Why:

Property Type:
Town/City:
Why:

Property Type:
Town/City:
Why:

Property Type:
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Why:

Property Type:
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Why:

 

[mcgregok]

A crystal ball question!

One thing I look at is the demographics of the area I want to buy in. Wages of residents, age etc.
I want to make sure as prices go up people in the area can purchase my property. I also what to make sure they can afford the rents and I can get a quaility tenant.

The Economics of the area is also important. Why by in an area of retired folks with a fixed income when you can by in an area of working folk with rising wages.

I have my best results on single family homes (except 4 level splits) and 1/2 duplexes.

 

[BHoward]

Analytical type ... maybe? ... or probably you are trying real hard to be analytical?

How come you haven`t included apartment buildings?

I like single family homes on big lots with potential for tearing down the home and building more units on the lot.

However, I own everything from 1 bedroom condo`s to 4 plexes.
I wondered if Apartment buildings could give a better ROI then SF homes. I don`t think so ... but I`m not sure. (I bet Borris would provide some sort of calculation for us.)

However, apartment buildings are much sexier ... and probably easier to manage. I think they are cooler too. Won`t it be nice to say ... `yup ... that`s my building.`

... oh yea ... we were talking about best ROI ... not building ego.

Let me just grab my Chrystal Ball ... and make sure those condo`s fees won`t change ... and the forecasted appreciation is correct ...

REIN has always maintained ... pick something and `go for it`.
Many REIN members focus on Condos, or Town houses, or buildings ... in specific areas.
To date ... I`ve purchased in Alberta Top 10 towns ... whatever I thought was a deal. (Deal generally meant good terms.)

Good luck. I`ll be interested to find out if we get more postings ... with a more analytical idea on what gives the best ROI.