The real estate market has recovered from the horror stories of nearly a decade ago. Purchasing real estate can still be scary. And while deciding to purchase real estate for investment purposes can appear rewarding, there are many aspects to owning investment property that require dutiful consideration.
Making the mortgage payment is obviously a requirement for any property you may acquire. But mortgage payments are but part of the ownership process…
Investors will need to plan, budget and implement maintenance repairs. Common repairs include roof, heating and air conditioning, and less expensive but more frequent cosmetic items like painting and carpet/ flooring.
A good home inspection or maintenance professional evaluation can help spot these potential issues.
Also consider tax or special assessment expenses. Municipalities will evaluation the tax assessment every 7 to 8 years and these increases can have a big impact on cash flow.
Perhaps the most important aspect of investment property ownership is screening and later interacting with your Tenant. Having a good application and process to determine qualified Tenants will both save you time and money.
Keep in mind that when determining the right investment for you subdue the urge to rely on price per square foot alone. While PSF is an important element of determining value it is not the most important. Greater indicators of success will be on potential rental income and of course: location, location, location!
There are several ways to locate rental investments. And technology has advanced the power to search. Search sites such as Trulia/ Zillow are great options. As are seeking foreclosure lists and contacting various banking institutions for their REO (Real Estate Owned) inventory. Of course the tried and true method of working with a dedicated real estate professional can streamline all of the above for you as you focus on your life!
We can assist you evaluate a property, screen prospective Tenants, manage and maintain your asset, and even sell your property when you are ready for the next adventure! Contact us today at getresults@trademarkresidentia
TradeMark Residential provides its client a full spectrum of residential real estate services including home and apartment rentals, management, maintenance, and brokerage.