Properties Not To Invest In

Properties to avoid as investments: manufactured homes, time-shares, and vacant land. Our teacher made clear to us that these are his views and others may have good reasons to disagree.

Manufactured homes are like cars, except they’re not as mobile as their name implies, but like with new cars, the moment they’re bought, at least the new ones, they depreciate in value.

While many people buy you tickets and trips to listen to their pitches on timeshares, take a moment and think about this. If they’re such a good investment, why do these guys have such trouble selling them? If you can’t sell it, is it really worth the investment? Oh, it’s for a vacation time, sure. Wouldn’t you want the ability to book your vacation when you want to, not at a preset date?

Finally vacant lots. These guy’s aren’t so bad, but they don’t bring in income and do bring many costs. This is really a rich man’s game. If a person can afford to hold through it, it may pay off, but generally the banks won’t finance it, so it’s on you, and unless there are some kind of crops there, it won’t even come close to paying off it’s monthly expenses. Furthermore development takes ages to get agreed upon, and all that time, you’re paying for it.