When it comes to real estate investing, especially in the current real estate market, house flipping is not always your best option. In fact, many investors are choosing to buy now and hold onto the property until home prices appreciate – which is expected over the coming years.
What are the most sophisticated investors doing in this market? They have determined that a “buy and hold” strategy is their best option. The question you have to answer is, is it your best option to start seeing an immediate return on your investment?
Here are some thoughts to consider when you are deciding your best strategy:
Being a landlord involves everything from screening and selecting tenants to managing the property on a daily basis. What if you have an investment property but you simply are not interested in being a landlord? Fortunately, you can simply hire a property manager to do the work for you while you focus your time, energy, and efforts elsewhere – allowing the property managers to handle the day-to-day aspects of being a landlord.
On the other hand, if you are looking to purchase real estate for the purpose of turning these properties into rentals, then you should first make sure your finances are in order.
First, it is pertinent that you secure funding before making the investment. How will you purchase the investment property? If not by cash, then obtain a pre-approval before even searching for investment properties.
Second, use an income calculation spreadsheet to determine if you are financially ready to be a property owner. Include the cost of hiring property managers into this equation if you are not interested in being a landlord.
Finally, if you have determined that you are financially ready to be a property owner then start searching for the perfect investment property.
At the end of the day, property ownership can be a very rewarding industry. Even if you do not want to be a landlord, you can still be a property owner and allow property managers to do the managing for you.
Do you have a Birmingham investment property and are looking for Birmingham, AL property managers? If so, then contact gkhouses.com today at 205.940.6363 and allow us to manage your properties.