What to look for when buying an investment property
Got your heart set on buying an investment property this February? Here's what to look for:
An attractive location. You hear everyone going on about "location, location, location" because it really is that important: schools, neighborhood amenities, shopping, businesses, and public transit are all features that'll boost your property's appeal.
Numbers that work. Don't forget you're covering more than just the mortgage. Make sure to factor operating costs and property taxes into your equation, and account for times when your property will be vacant.
Low maintenance and easy to access. If you're going to manage the property yourself, make sure it's reasonably close to your own home. Time is money, and the last thing you want is to be driving an hour to make a simple repair for a renter.
Appreciation potential. Look at the immediate appreciation potential you can get from a few cosmetic updates on the place. Then, consider long-term value when you and if you sell down the road. An agent can help run accurate numbers.
Steady, stable, and normal to a fault. Normal means that you want something practical, in decent shape, in a location where people want to live. Think a 3/2 with a predictable floor plan near schools and major employment centers.
My top rec for beginner investors? A single-family home or a condominium. Single-family = long-term renters. Condos = low-to-no maintenance with POAs. Like to discuss at length? Contact us!