Quick Tips on Buying and Protecting Your First Investment Property
January 31, 2022 Mark MacFarlane

Quick Tips on Buying and Protecting Your First Investment Property

Posted in Home Buying, Home Rental, Investment Property

Quick Tips on Buying and Protecting Your First Investment Property

Things to Consider

Are you considering buying your first investment property? Owning real estate is a potentially profitable passive income stream that can help you build your wealth from the ground up. And, despite rising prices throughout most markets, there is still money to be squeezed out of every last brick. Today, OutFactors.com offers a few quick tips on how to make a smart investment and protect your money from the beginning.

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Making Your Investment

Something else to pay close attention to before you buy is the potential monthly or nightly fee you can charge based on comparable properties. For a vacation property, this means getting to know everything from upcoming local events to when the slow season starts, and your rental is likely to be empty more than you like. You want to make sure that you average a positive profit each month, even if you’ve chosen to take out a loan. 

As you begin touring properties, you’ll find that the lowest-priced options are likely the ones that need the most work. These offer you an exceptional opportunity to buy low, but you have to know which repair issues should send you packing. A faulty foundation is one example. Total Foundation Repair estimates that major structural repairs can cost $10,000 or more. This is not a bill you want to be stuck paying right off the bat.

Protecting Your Investment

Once you have acquired your investment property, your next main goal is to protect it. There are a few ways to do this, including partnering with a property management firm, installing a smart security system, and buying the right insurance. 

Next up is your security system. Today, renters in all markets want to know that they are safe, and having smart cameras and motion-activated lights may be just a deterrent your property needs to keep burglars from breaking the window or popping a lock. When your property is unoccupied, your camera can even help you keep tabs on what’s going on. This is helpful if maintenance crews, contractors, or delivery drivers will need to enter and exit when you can’t be there or if they wander in without permission 

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Finally, invest in rental property insurance. According to Aegis Insurance Markets, rental insurance protects your interests as a landlord. It can help to offset the financial devastation that may be incurred due to natural disaster or vandalism from an unruly tenant or guest. 

Last but not least, it’s never too early to think about the future. ZenBusiness has some great tips to bear in mind as tenants come and go. You can also think about how much you’ll want to expand your business, including how much money and time you’re willing to invest. 

This is just a small list of ways to buy and protect your rental property. With time, experience, and the right realtor and property management agency on your side, you will learn the best ways to build your wealth through real estate. Remember, your goal is profit and your objective is to protect it.  

Brought to You by OutFactors

This information is provided by OutFactors, a home cash buyer. At OutFactors, we buy houses as-is for cash and close quickly. To get a cash offer on your home just enter your address and answer a few simple questions about the house. The entire process only takes about 2 minutes and personal information is NOT required. Yes, that is correct! No email address, no telephone number, not even your name. If you like the offer, great, your home is sold. If not, just “X” out and go enjoy the rest of your day. To get a great cash offer click here!

For those who prefer a personal touch, we invite you to call us at 800-420-7030 to speak with our friendly and helpful customer advocates. We are here to help! 

Buying Investment Property | Passive Rental Income | OutFactors – Dallas Fort Worth, Texas