What is an investment property?
Investment properties are real estate purchased with the intention of a return on investment through the rental of the property be it residential or commercial, vacation rental, or just appreciation. They can be purchased by a single investor or a group of investors.
Three (3) signs that you are ready for investment property are you are financially stable, the return on investment is evident and you have the time to manage it or at least you can hire a property manager.
Do you think you are ready to purchase an investment property?
Then consider the following:
1. What are the housing market trends – as you want to purchase a property that appreciates. Therefore, you should do due diligence and research and analyze the market trends in the area.
2. Should you purchase with a partner – this may sound like a great idea as purchase cost and expenses can be split. However, the downfall of this is you also have to split the profits, you need to find a partner you can trust and who is reliable as well as you can end up in legal complications.
3. How much will property tax, maintenance fees, homeowner association fees as well as any other government taxes related to the purchase of the property?
4. Should you hire a Property Manager to provide maintenance, repairs, and administrative support to manage the rental property?
5. Should you hire property consultants to locate your next investment property? I will strongly advise this as they are the experts on housing market trends, value, mortgage advisors and so much more that are required to have a profitable long-term investment property.
After taking into consideration the above, are you ready for that investment property? One that can earn you an income.
We do have a variety of property investment options to pique your interest.