Do you make your money buying or selling your house? Of course, you make the money when you BUY! By getting a good deal on the property when you initially purchase, you position yourself to reap big financial rewards at the time of selling. There are several ways to determine a "good" deal. Did you buy for less than the other homes in the neighborhood are worth? Maybe you chose to go the route of putting some sweat equity in the house. A headache for someone else could be your goldmine. It's also better to buy the least expensive house in the neighborhood rather than the most expensive.

Location, location, location! This old real estate saying is true. Buying a house in an up-and-coming neighborhood could reap huge financial rewards when the neighborhood blossoms. Of course, predicting which neighborhoods are hot can be tough. But, oftentimes, with diligent research it can be done. Cul-de-sacs, waterfront views, golf course views, convenient for commuting: all these location enhancers also drive up the value of your home. Nobody looks for "view of the interstate" or "view of the power station". "Located on a busy street" might be a real turn-off. So even if the house itself is brand new with a beautiful interior, where it's located could keep it from holding it's original value.