Owning a historic house comes with both advantages and drawbacks. Tax breaks on renovations may help offset costs, while many people appreciate living in these old structures.
One way to uncover more information about a home’s past is by reviewing its documentation, held by various agencies like building departments or city planning offices.
It’s a Status Symbol
People often see owning an historic home as a status symbol. Because these properties are considered part of local history, they can command higher prices than newer homes, and also represent good investments that appreciate in value over time. Furthermore, many states provide tax breaks to those who purchase and live in historic properties.
Owning historic properties can be tricky; not everyone is cut out for this challenge and maintenance requires considerable work and attention. Modernizing them may not even be possible since it already belongs to an important historical site; therefore it is wise to conduct sufficient research prior to purchasing historic real estate and seek professional guidance as you try to secure the best price available.
It’s a Good Investment
Historical homes for sale attract prospective home buyers due to their charming features, unique architecture, and one-of-a-kind designs. Furthermore, historical properties often boast higher returns than other properties due to being situated in sought-after neighborhoods that attract both tourists and locals alike. Furthermore, renting out historical houses is also an effective way of earning extra income.
When purchasing historic properties, make sure they truly qualify as historic. Review whether the site has been designated on the National Register of Historic Places or state and local lists; once listed as historic it becomes nearly impossible to tear it down.
Owning historic property can be both an exciting and daunting experience for new investors who are more used to more conventional real estate opportunities. From structural issues to tax credits, owning these types of properties requires extra work and maintenance than usual – but their rewards make the effort worth while!
It’s a Place of Haunting
Many historic homes are known for being haunted, which may disquiet some buyers while also captivating others. Some listings even include paranormal reports as part of their real estate listings.
Loftus Hall in Ireland has long been considered one of the world’s most haunted houses. Covering an area of 63 acres and featuring 22 rooms, its features include servants’ stairs and dumbwaiters for added authenticity.
Rhodes Hall in Savannah, Georgia is another haunted home for sale that’s said to be haunted. Reportedly haunted by former furniture magnate Amos Rhodes and an evil spirit known as Shadow Man, some people have reported strange encounters such as hearing footsteps outside or shaking beds.
It’s a Place of Tax Incentives
Historical properties tend to incur higher property taxes than contemporary buildings, yet many tax breaks exist at both the local and state levels for buyers who purchase and preserve historic properties. One such incentive is the federal Historic Rehabilitation Tax Credit that offers owners of eligible homes up to 20 percent tax relief; many states and cities also provide similar incentives. If you’re serious about investing in historic property, be sure to reach out to both your local historic preservation office as well as an attorney familiar with local property taxes in order to learn about all available incentives in your area.
Not only can you take advantage of tax breaks for renovating historic homes, but you could also qualify for rebates on renovation expenses when renovating those listed on the National Register of Historic Places. In order to be eligible, however, you will have to show proof of residence before 1936 in order to qualify.
