One of the questions that I get from lots of first-time buyers and investors is how do I know if a neighborhood is going to be a good area to invest in? If you’re looking to get a good return on your real estate investment then it is always a good idea to invest in an up and coming neighborhood. With an up and coming neighbourhood you buy in at a low price and make a great profit when you sell because that area has appreciated more than others.

These neighbourhoods can be hard to spot. Typically they appear a bit run down and might not have the best reputation.  It is very important when picking an up and coming neighbourhood that it is not just a bad area that stays that way.

These are some key indicators of an up and coming neighbourhood.

• Proximity to other nice neighborhoods. If you find an area that is a bit run down but close to other nice neighborhood and it is a lot cheaper then there is a good chance that it will eventually become a nice neighborhood too.
• Major developments. Some older rundown neighborhoods have old factories or other large pieces of land that are not being utilized. If you start seeing developers turn these into condo lofts or retail developments that is a good sign that the neighbourhood is starting to turn.
• Close proximity to public transit. Area’s that are close to train stations or other transit hubs are much more likely to become a desirable neighbourhood than one that is isolated. So look for less desirable areas where the city is developing a new transit hub.
• Look for areas where there are a lot of young people moving in. Young people are often priced out of established neighborhoods, which is why they often lead the way to a neglected neighborhood’s resurgence. Once they move in, restaurants and bars often follow.
• Look for an area where new hip restaurants or art galleries are opening up. If you notice that several new businesses have opened up in a not so nice neighbourhood this is a good sign that it is an up and coming neighbourhood.
• Lastly, areas that have historic or interesting architecture. Historically significant styles, in particular, are a good indicator that an area is ready for a resurgence.

If you have any questions about how to find an up and coming neighbourhood or would like to know about the up and coming neighbourhoods in Guelph please contact a representative of the GoWylde Team.  Thanks for listening and have a great day!