How to Find a Good Investment Property

Have you always had the dream of owning an investment property? If so, you may find that it might not be as easy as you expected. However, it is possible to find just the right property for your investment needs if you take the time. This article lists everything you need to know to find a property that will make a good investment. Keep reading to learn more! 

1. Talk to Other Investors 

Before searching for the perfect investment property, the first thing you should do is talk with other real estate investors. Consider joining local groups, meetups, or real estate associations to build your network. Meeting people who know the local market is a great way to learn about area-specific dos, don’ts, tips, and tricks. The more involved you are, the more likely your investment success will be. 

2. Figure out Your Loan Needs

You can skip this step if you have enough cash savings to purchase a property immediately. However, most investors will need to take out an appropriate loan to help them buy their ideal property. Work with a lender (or several) to determine how much you qualify for, what kind of interest rates are available, and what loan terms are appropriate for your situation. 

3. Think About Your Renter

A large family with kids, young single professionals, college students – many types of people looking to rent. At this time, you need to think about who you would like to rent to. When you have that in mind, it’s time to look at the areas where that type of renter wants to reside. That will be your primary search location. 

4. Avoid Fixer-Uppers

A fixer-upper may be a good idea for your first home that you’ll live in, but more often than not, they turn out to be money pits for investors. Fixing up significant issues like plumbing or electrical problems can be pretty costly, and unless you’re certified, you shouldn’t attempt extensive repairs in these areas. 

5. Research the Property

Once you’ve found your perfect investment property, you should research its ownership and rental history. Look at previous rental rates and compare them to similar properties in the area. If there is a significant price discrepancy, you may want to ask a few more questions of the owner. 

6. Count Up Your Costs

Don’t forget that there are lots of costs you’ll be responsible for as the landlord once you start renting. Utilities, maintenance, major repairs, association fees, property tax, and insurance all fall under your responsibility, so make sure you have enough coming in from rent to cover those costs. 

Contact Us Today

Ready to get started on your search for the ideal investment property? Quinn & Associates can help. We’ll offer professional guidance every step of the way, so you can make sure your budget and lifestyle are ready for owning an investment property. Get in touch today by calling us at (508) 588-5600.