So You Want to Buy a $50K Property in Broward County!

With websites constantly promoting how inexpensive properties are in various location throughout the US, the average buyer may think that any property is available anywhere for under $50K--as long as they have cash. The reality of the situation is quite different. In South Florida, there are properties available for $50K, but rarely are they nice and in great neighborhoods. This fact is particularly true for single family homes. So where are the bargains today?

If you want to purchase a foreclosure or short sale, there are lots of $50K and less properties. The units will probably need fixing up, and you may need to have patience to close the deal. But they are there. Be aware that lots of other buyers are out there searching for the that same property, so placing a successful bid on a property  may be simply good timing or outbidding the competitor.

The best deals for the frugal buyer are 55+  communities. You must be 55 years of age or older to purchase these units. (Exceptions do exist, but one person owning and/or living in the unit must be of age.) Often times these communities have very strict rules, so if freestyle living is your option, these properties wouldn't be a good choice for you.

Single family houses under $50K truly the bottom 1% of the market. That means the houses will typically be in less desirable neighborhoods, need lots of work or possibly have have fees (liens, association dues, repairs to occupy, etc.) attached to the house. These types of properties are best purchased by contractors, investors with house rehab skills and demolish companies. For the average owner, these are typically money pits, so be careful and ask lots of questions along the way. Auctions may seem like a great way to get a cheap property, but be aware that you are not getting clear title and may inherit expensive liens and taxes.

In Broward County, FL, the $50K houses, condos, and townhouses are more common on the west side of town and are usually old 1950s and 60s vacation property. If the deal looks to good to be true, it may be. Lots of newer properties on the market may have high maintenance fees, chinese drywall, water leaks, etc. Location is a big determinant in price, so as you get closer to the ocean, fewer houses are available at that the under $50K price point.

Remember shopping for homes can be fun, but at this price point, realtors make very little commission, so work with your realtor by previewing the outsides of units first and driving around the neighborhoods. Your realtor can help you best if you do your pre-work.