Choosing rental investments really depends on what you want to have in your portfolio. Experienced investors will often want to diversify their assets, and they’ll buy single family homes as well as multi-family units and even small or mid-sized apartment buildings. As a new investor, you should focus on a specific type of property. It’s also a good idea to work with an Orlando property management company so you can be sure you’re choosing a property that will be easy to rent out to good tenants.
Single Family Properties
A single family home can be an excellent investment for many reasons. First, it provides tenants with a neighborhood and a community, which many people find appealing. Tenants who are financially stable but not prepared to buy a home like to rent a property that feels like their own home. Single family homes will allow you to attract high rents, especially if you’re in a desirable neighborhood with good schools. However, you will need to be prepared for higher maintenance expenses, especially if you buy an older home or one that’s in need of updates and repairs. When you’re looking for a single family home, consider one with three bedrooms, two bathrooms, a nice yard, and a garage.
Condo Investments in Orlando
Condo investing makes a lot of sense because they are inexpensive to purchase, and tenants love renting something that requires little maintenance or upkeep from them. In the Orlando market, condos are affordable, and many of the developments come with resort-style amenities that make your marketing and advertising really easy. You can provide a pool, workout center, playground, and walking trails in addition to a beautiful, well-maintained home. While your repair costs will be lower, you’ll need to be prepared to pay an association fee. Before you buy, make sure you are permitted to rent out your condo. Study the rules and regulations associated with the property before you put your money into condo investments.
Consider Your Investment Goals
It’s important that your financial goals align with your rental investments. Single family homes might be more expensive to purchase, but they also appreciate faster than condo investments. You need to think about whether cash flow is more important than long term returns, and an expert in property management in Orlando can help you determine what you should buy and where.
We work with new and experienced investors all the time. If you’d like some help in identifying the best type of rental investments for your budget and your goals, please contact us at R. Russell Properties.