It was the best of times, it was the worst of times. In real estate sometimes things can be extreme. I’m sure you’ve heard people say “location, location, location” when they talk about what matters in real estate. You may have even said it yourself.
A Tale of Two Properties
My family (probably like yours) has been buying and selling homes for a long time. A lot of them have been homes that we’ve lived in, and others have been vacation homes – a place to retreat to and spend time together. A vacation home is clearly not something that anyone has to buy, but if you’re reading this blog and aren’t planning on living on Kauai full time…it is probably something you have considered and is most likely an opportunity you can take advantage of.
In 1947 my family purchased a beautiful cabin with land in the Rocky Mountains. It’s a large beautiful cabin with multiple fireplaces, knotty pine throughout most of the home (amazing woodwork), incredible views, it’s a great place to relax and get away from it all. My family got all of this for about $25,000 (remember it was 1947)!
In 1978 my family bought a beach house. It’s a tiny house. It is not fancy. It has a tiny yard. We bought the beach house for about $70,000 (remember it was 1978). Today, the beautiful cabin would probably sell for somewhere around $200,000 (if you could find a buyer).
Homes in the neighborhood of the beach house that are considered “tear downs” (meaning the home itself has no value, only land value) when (and if) they come on the market recently have listed at $2,000,000. With a 2 million dollar price tag they have received multiple offers the day they hit the market and have sold for over list price.
No one is losing money on either vacation home, but the return on investment in this personal example of mine illustrates profoundly why location in an investment or vacation property is so vital…financially!
Pick the Right Kauai Location
If you are still reading this, you know what a special place Kauai is. As the fortunes of the fortunate grow around the world Kauai is becoming more and more attractive as a place to invest for those with means.
You’ve picked Kauai, now it’s time to make sure you get the location on Kauai right. Where you purchase is vital to your investment!
Call me at 808-855-5808 or email me.