The two main examples of a distressed market is either one that has had a property boom that has been over saturated in properties and doesn’t have local market to keep demand high enough, perfect examples of these in recent years would be Bulgaria and Spain. Or a town or city that has suffered from a large financial crisis, Detroit, Cleveland etc.
You can buy some of the cheapest properties in the world in a distressed property market, but extensive knowledge of the area is important if you want to make money out of it, especially if its in an area whereby you wouldn’t make use of it yourself.
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