Tips For Buying Your First Rental Property

Buying a rental property could be truly daunting especially if it is your first rental property. You don’t want to fall into the wrong hands but you want to go for the best. One of the first places to start your exploration is Jason Hartman. The real estate education as well as topnotch real estate properties available in their platform is truly amazing. However, the tips mentioned below could be relevant in your exploration to get the best property.

Get Advice and Recommendation

If you truly want to go for a wonderful property, you need an advice from an expert. The expert could be a reliable realtor, a friend or a family member but the bottom line is that you need an advice. Ask for recommendations on a good property and seek advice from some of your friends who might be experienced in the field. You can also leverage the service of Jason Hartman here to get expert advice on all kinds of real estate properties.

Not all Realtors are Reliable

One of the greatest mistakes people make when buying their first rental property is to trust every realtor they meet. You might get a good deal with a real estate agent but your foreclosures will be listed on the Multiple Listing Service. This could be a disadvantage to you because your competitors will have access to this same information. As a result the competition might become higher and the cost of acquisition of the property might likely increase. Thus, you might be better off making your own research.

Have a good understanding of what you want and its cost

Before delving into a property, it is important to make a good research. Check with property managers, classifieds and also enquire if there are incentives. Careful enquiry and research will uncover to you whether there is heavy competition or soft rental market. You can also ask landlords and explore every available option to ensure that you get the best property at the most reasonable price.

Invest Equity at the Closing Table

One of the best ways to make the most of your property purchase is to ensure that you never buy any property at the retail market value. You need to ensure that you get reasonable discount before making a deal. As a matter of fact, you should balk from any deal if you can’t get at least between 10 and 20% discount on the property’s current market value. Thus, you might have to demand for the dealer’s valuation calculations and make sure that it tallies with your requirements before you proceed. In other words, you can proceed if the valuation is at least 15% below the market value. This puts you in absolute control of the situation and helps you steer the deal to any direction you want and ultimately ensuring that the investment would be a great one before you put in your money.

Of course, you can make a great deal and amazing profit on buying your first rental property. Get expert advice, make your own research, understand what you want and the cost involved and lock in equity at the closing table.

A Guide For Investing In Rental Property

Real estate investment is not for the faint-hearted. You need to learn the secret of the game and play it well; else you may lose out in the process. Interestingly, there are huge potentials and options available in the real estate market. No doubts, you can make huge bangs for the bucks within a year if you know how to invest properly in properties. Jason Hartman can also assist you to make a better decision in real estate investment by educating you on the dos and don’ts of real estate investment.

Pick a great location

The success and failure of your real estate investment is dependent on the location you choose. The location you should choose will depend on what you want. Do you want long-term or short term equity growth? You also need to consider the proximity of your property to public transportation, major roads, and so forth.

Start Small

You don’t have to start big to succeed in real estate investment; as a matter of fact, it is advisable for you to start small. You can start with an affordable initial investment and grow the investment. This will save you from going bankrupt if things fail to work out the way you planned. Starting small also helps you to manage the investment especially in the early stage.

Treat the property like your business

To really make the most out of property rental investment, you need to have a business mindset. This connotes that you should properly estimate the rental cost associated with leasing precisely and know what to expect in each of the property. This will prevent you from making unnecessary loss and also guarantees substantial profit in the property investment.

Don’t spend too much on improving the property

Most real estate investors are tempted to spend a lot of money improving and upgrading the property that the overall cost of the property rise exponentially. You need to set a minimum standard for your properties and ensure that you never exceed that set standard. Essentially, you should factor in your net profit and the cost of the property in each of the expenditure you make on the property. This also relates to treating the property as a business and doing everything it takes to make profit out of it.

Choose Tenants Carefully

It is always difficult and stressful dealing with tenants. Of course, you need to properly screen tenants before allowing them to rent your property but you can easily do this by hiring a property manager experienced in the field to handle the job for you.

Investment into rental property is not rocket science. All it takes is a brave heart but with diligence and determination you can success substantially as a property investor. However, you need to ensure that you treat each property like a business. Of course, you don’t have to go out of bounds or allow the property to dilapidate. Set a minimum standard for the property and stick to it. Consider Jason Hartman property tips and guides to get the best housing properties.