Buying a fully renovated home in an A+ neighborhood is a safe choice because it will likely hold its value. But it will not have the same upside seen by its fixer-upper neighbor down the street. While there will likely be dozens of buyers lined up to purchase a move-in ready home on a prime block, a home buyer needs to understand that they’re paying top market value for the house.
In this next generation of real estate, the world moves faster. People get job transfers more often, and it’s less common for someone to stay in their home for 30 years. If you pay top dollar for the best house on the best block and then have to sell it within a few years, your investment may not have time to appreciate enough to cover your selling closing costs.