Are you considering purchasing golf real estate?
It is easy to be lured into the sales center of an upscale golf development. So be careful of the trappings that these lifestyle communities lay out. All of the warning signs may not be present to the real estate consumer. There have been numerous developments that have struggled through some of the past difficult economic times leaving behind a wake of unhappy landholders and hackers. A recent Linksliving magazine article suggested 10 Questions to ask if you are considering purchasing golf real estate. I have modified the questions from my experience and included my list below:
1) Why do I want to buy golf real estate?
2) Where is the developer’s money coming from and what is his debt ratio?
3) What is the developer’s track record?
4) How many sales has the community made this year?
5) What is the community going to be like in a year? Five years?
6) What happens if the community changes hands or files for bankruptcy?
7) What do the employees and residents think?
8) How much will golf cost? For me and my guests.
9) How much will my property taxes increase?
10) What are the demographics of the membership?
PSSSS ….. As a BONUS secret: Ask for more freebies…… they will provide them!
If this decision to purchase golf real estate is simply an investment there may be other investment alternatives to consider. However, if this is a choice that you are making to enhance your lifestyle then by all means “play through!” I would just encourage you to proceed with caution and make sure it is a good fit for your family.
Have you had a good experience with golf real estate? Tell me about it…