Are Real Estate Rentals Good Investments?
With the housing market still in a slump is investing in Real Estate really a good choice? Rental units are in higher demand now as purchase money for individual families has tightened, requiring a larger down payment.
People are being forced to rent longer to save what is needed.
If you decided investing in rentals is what you want to do I highly recommend getting as much knowledge and information as possible.
Before you go out and buy your first property you do need to have a plan to be successful.
It is important to have an understanding of real estate investing, but in the beginning you don't need to know everything about it.
If you purchase wisely and do just the right amount of upgrading, you will likely attract quality long term tenants, which will give you a monthly return on your investment and build equity.
On the other hand if you purchase and make improvements poorly you run a very high risk of losing money.
One way many rental investors start is to find a foreclosure that is in need of fixing up.
They live in it themselves as they do the work and use it as leverage for the next unit purchase.
This is basically the same principal flippers use except they are looking for that one time pay out rather than a monthly income.
Are you in a position to invest your own money or will you use OPM (other peoples money) it might help you to learn why one is better than the other.
Finding profitable rentals takes skill, knowing where to look and why one area is better than another is important information to learn.
There are more displaced homeowners or job seekers and its more important than ever to learn how to screen your prospective tenants.
When your dealing with rentals you can choose how involved a landlord you want to be.
You can hire a property management company to handle everything, yes this will cut into your profits, but you decide whether its worth it after you learn what they will and will not do.
Owning real estate rentals can be a very passive source of income.
Being a landlord can provide a steady monthly income.
Learning how to put it all together may save you a lot of headaches down the road.
Real estate investment very often involves large amounts of money, your goal is to have it going into your pocket not simply out of it.
Be smart and learn all you can put knowledge ahead of your money.
There are many ways of making money with Real Estate.
I look at providing shelter to those in need as much a service as a business.
If I can combine profit and service what more could I ask for.
People are being forced to rent longer to save what is needed.
If you decided investing in rentals is what you want to do I highly recommend getting as much knowledge and information as possible.
Before you go out and buy your first property you do need to have a plan to be successful.
It is important to have an understanding of real estate investing, but in the beginning you don't need to know everything about it.
If you purchase wisely and do just the right amount of upgrading, you will likely attract quality long term tenants, which will give you a monthly return on your investment and build equity.
On the other hand if you purchase and make improvements poorly you run a very high risk of losing money.
One way many rental investors start is to find a foreclosure that is in need of fixing up.
They live in it themselves as they do the work and use it as leverage for the next unit purchase.
This is basically the same principal flippers use except they are looking for that one time pay out rather than a monthly income.
Are you in a position to invest your own money or will you use OPM (other peoples money) it might help you to learn why one is better than the other.
Finding profitable rentals takes skill, knowing where to look and why one area is better than another is important information to learn.
There are more displaced homeowners or job seekers and its more important than ever to learn how to screen your prospective tenants.
When your dealing with rentals you can choose how involved a landlord you want to be.
You can hire a property management company to handle everything, yes this will cut into your profits, but you decide whether its worth it after you learn what they will and will not do.
Owning real estate rentals can be a very passive source of income.
Being a landlord can provide a steady monthly income.
Learning how to put it all together may save you a lot of headaches down the road.
Real estate investment very often involves large amounts of money, your goal is to have it going into your pocket not simply out of it.
Be smart and learn all you can put knowledge ahead of your money.
There are many ways of making money with Real Estate.
I look at providing shelter to those in need as much a service as a business.
If I can combine profit and service what more could I ask for.
