Buying rental property in Toledo can be extremely profitable. However, buying the wrong property can create a financial nightmare. Here are tips I use in determining whether a house can be a good investment. They include....
1. Exterior Material...Go for property that has either aluminum or vinyl siding. Reduce the possibility of
having to do exterior painting.
2. No Furnace- No Hot Water Tank- No Problem...Houses that do not have these mechancials usually have
lower prices, which translates into you being able to install new mechanicals and reducing the chances for
costly repairs in the near future.
3. Value...If you want a rough estimate of value, consider looking to the value of the house around the year
2000. If a seller suggests a return on investment, be conservative and reduce it by 30%.
4. Get The Taxes Reduced...Use your purchase contract or HUD statement to prove the value and get the
taxes reduced.
5. Ratio of Home Owners Verses Renters...Neighborhoods with more home owners than renters tend to
keep their value or increase in value.
6. Foundation...Make sure the foundation does not require repairs...these are usually the most expensive.
7. Rent Average...Call 3 management companies, pretend you have a house in the area and ask what they
could rent the house for.
Investing in real estate has helped make many people financially independent and it can you too. Buy the worst house in the neighborhood, make it better and enjoy the cash flow.
For more details, feel free to call Flex Realty Property management at 419-843-4335 or go to flexrealtypropertymanagement.com
