05 Jul Where to invest
This is not a new question and every real estate investor has this question. Here are some simplified and quick answer or points to consider when someone is looking forward to invest in real estate market. For more detailed analysis and personalised advise get in touch with me and I’ll help you achieve your goals in best possible manner.
A 24 hour City – what does this mean? Invest in close proximity of area where people and/or business are operational pretty much round the clock – 24/7 and 365 days a year.
Economic Engine – Invest in place, city or town which is economic engine of the region and more and more people are attracted for jobs, business, education, so on and so forth.
Proximity and Access to — following are few examples of location based features and closeness to any one or more of them may prove to be really good advantage for your property.
School/Collage proximity – This is something that is not affected much by any other factors. Collages and universities attract continuous flow of students semester over semester and year over year. This in a way guarantee tenants for your property.
Near hospital – Hospitals are other such locations that attract hundreds of employees. Also they are pretty well paid so rents are guaranteed and they tend to be long term tenants.
Proximity to public transit – People do commute everyday to and back from work. The people living in towns/cities that has public transit facilities tend to look for this facility. The property close to public transit attracts tenant and you as landlord do not have to struggle marketing your property.
Buy where you know – It is good idea to know the location, surroundings and amenities available in a region. This gives you knowledge of the features that your property can cater to potential tenants.
Cash flow – It would be desirable that the property generates more cash after paying off all expenses. The expense may include mortgage (home loan), the maintenance fees (if any), home insurance and the property tax portion. The property should earn you at least (I repeat AT LEAST) enough that it take care of all the above expenses.
Properties where you can add value – There are different things that one can look for to add value to property. These things could be something as simple as cleaning the property, applying fresh paint or small scale renovation to give a renewed image.