Buying in Breckenridge is purchasing a little bit of what is known as "the dream".
Colorado and Breckenridge, in particular, is beautiful in the summer, action-packed in the winter, and the property market is booming year-round.
But just because you're thinking about buying a little piece of heaven doesn't mean everything will be a dream. You still have to keep your head in the game if you want to find the perfect home at the perfect price.
Here are 5 things to know before buying Breckenridge real estate.
Keep an Eye Out For Old Homes with Brand New Interiors
Breckenridge real estate was popular with house flippers. In some cases, this can be a great opportunity because it allows you to pick up a classic property without having to do the work.
However, there may be parts of the house left unfinished, and the owner may be looking for a buyer interested in finishing them. These properties are an excellent way to put your own touch on your new property.
Some owners/flippers may even offer stipends for doing things like finishing the floors. But be wary of these offers: in many cases, the stipend may cover only some of the materials. You'll still need to hand over cash for labor and potentially the rest of the money for materials.
Do some research on what it would cost to finish the repairs before signing any agreements.
Consider How Often You'll Use it
Unless you're lucky enough to find a job or work remotely from Breckenridge, there's a good chance you won't live in your new home full time.
Fortunately, there's a great way to capitalize on your new investment: the vacation rental market.
Breckenridge is a hotspot for vacation rentals. In fact, Miner's Clubhouse was the only U.S. property to make it to Trip Advisor's 2017 list of top rentals.
It's safe to say a vacation property in Breckenridge can take you far.
How to Make the Most of a Vacation Property
If you're going to use the property as a part time vacation property, we have two recommendations for you.
First, check out neighborhoods or areas where tourists like to rent properties. It will make it easier to attract renters when you're not there. Remember, more renters = more money for your mortgage payment.
We recommend partnering with a vacation rental company who can take care of the ins and outs of renting your home when you're not there.
We recommend it because not only do vacation rental companies keep the process easy but otherwise you might miss out on the 100 nights a year you could be charging vacationers and short-term visitors.
Breckenridge Real Estate Is Hopping All Year
Some real estate markets have peak seasons - good and poor times to take the plunge.
Breckenridge real estate has no peak seasons. There are no good and bad times to buy.
You need to know this because you might be searching for a home during the spring and talking yourself out of buying until the autumn or winter because the market might be better.
The best thing to do is talk to a local Breckenridge real estate agent. They have the knowledge and experience to inform you on the buying market.
A good real estate agent won't rely on intuition or your experience buying in your current home's market. They'll get you on the right road to buying the right property at the right time for you.
Raise your hand if you browse the available properties hanging in the windows of local real estate agencies whenever you go on vacation.
We're all here because we're all guilty of doing just that.
While the excitement of seeing what's available on the market is romantic, it's a poor strategy for buying a property. If you're serious about buying Breckenridge real estate, then un-glue your eyeballs from those windows and go get pre-approved.
Why Pre-Approval Is Still Useful
Failing to get pre-approved before finding your dream property is one of the biggest real estate mistakes you can make.
Some folks, like this Forbes writer, say getting approved isn't worth your time. But while there certainly are problems with the pre-approval process, getting pre-approved does serve one important purpose.
Pre-approval manages your expectations and narrows your search because it limits your options.
When you know what you're able to spend and when you can spend it, the search process is less taxing.
Unless you already live in Breckenridge, you'll be traveling to view properties. Flying into Colorado or driving in from Denver or Boulder takes up time.
And there's nothing more defeating than traveling all day to see a house you're not going to be approved for, especially if you fell in love with the property.
Getting pre-approved isn't a simple process, but if you're in the market, you'll need to do the paperwork anyway. And pre-approval can set you apart from other buyers when you find your dream home.
So, what are you waiting for?
Take the Inspection Seriously
It's easy to get distracted by idyllic daydreams of owning a piece of Breckenridge real estate for yourself. We can't blame you.
But just because you're not going to live here full time doesn't mean you can let a property inspection go.
In the long run, your second home should be a dream to manage. It can become a nightmare if you mistake major maintenance issues for little imperfections during the buying process.
Are You Ready?
You might think the buying process is easier the second time around. After all, you've made it work with your primary home.
But buying in Breckenridge isn't like buying other places, and it's easy to get swept away by the idea of owning a piece of one of the most desirable parts of the country.
Keeping these five things in mind before you start your search can alleviate many of the common problems buyers have.
Have more questions or are you ready to get started on your search? Contact us today!
By Coldwell Banker