Our tech team has launched updates to The Nest today. As a result of these updates, members of the Nest Community will need to change their password in order to continue participating in the community. In addition, The Nest community member's avatars will be replaced with generic default avatars. If you wish to revert to your original avatar, you will need to re-upload it via The Nest.
If you have questions about this, please email help@theknot.com.
Thank you.
Note: This only affects The Nest's community members and will not affect members on The Bump or The Knot.
If you own rental property, what do you like to buy?
We're preparing to buy our first rental property sometime in the next 6-12 months. My family has owned rental properties for years so I do have some understanding of the business side of things, and I have access to good resources, info, people. I'm starting to narrow down the idea of what I want to buy to start, and I would love to hear ideas etc from people who have BTDT with rental properties.
WHat do you look for in a new property? Do you prefer quality or quantity, cash flow or long-term? WHat's your dream investment find? And what makes you avoid a property? Any absolute dealbreakers in rental properties?
Thanks for any answers. I think we're deciding between a triplex or similar student/starter housing, or a single property more suitable for a professional or family, There;s a bit more money/volume in the triplex, but the the long-term potential of nicer homes in good neighborhoods is appealing..
Any suggestions? Thanks!
Re: If you own rental property, what do you like to buy?
DH buys all types of properties. We have single family, multi family, condos and a commercial building.
Price of property and how much to cost to renovate as well as location of property are main considerations of purchase. Properties he avoids, high maintenance properties, flood zone properties and high crime areas.
Goal for us is to invest in properties that will generate cash flow.
Advice: if you plan on renting to students be sure to get a parent to co-sign lease. We rented once to students and will NEVER do it again.
It's a tough choice, but I'd generally say start with the single-family investment and see how you like it/can handle it. I'm genuinely sure your family experience will help you out and that you're firm and knowledgeable in what you're doing, but if you're not 100% on what you're looking for in an investment property, stick to the safer and easier option to begin with, then expand from there.
I actually can't say myself, but I also have family doing that, and they'd tell you to also base your ideas first on the location, especially as it relates to schools when thinking of single-family homes, or convenience to both school and entertainment for student districts. There are often neighborhoods that are more heavily populated by graduate students, exchange students and young faculty that might be well-suited to a green landlord interested in immediate cash flow.