 | Robert Cobb is Managing Broker/Owner of CENTURY 21 Cobb Realty in Pittsburg, KS. He is a life-long resident of Pittsburg and a PSU graduate with a BS in Business Administration. He has been in the real estate field for 23 years. He is currently a KAR Director and the President of the Pittsburg Board of Realtors. |
Real Estate
2012-02-28 10:23:45
Things to consider in investment properties
A: An investment property can indeed be a valuable asset, and today’s market offers plenty of opportunity. However, to make the most of investment property, there are several considerations.
One of the first considerations is what type of dwelling is best for your investment strategy. For example, if you intend to keep the property as a rental, would a single or multi family dwelling be best?
For some, a multi-family dwelling such as a condominium or duplex is ideal as it provides two steady streams of income while occupied. However, it may also equal more time in management, upkeep, and trouble shooting.
Next, consider location. Your location will greatly affect your ability to keep it rented, which is even more important if you have a multi-family dwelling. Before you buy, browse the neighborhood as if you would be moving there yourself. If you would like to have families move in, be sure to buy near schools and other amenities that families need. If you were buying a series of one-room duplexes or interested in a building filled with one-room apartments, you might want to consider nearby amenities that favor singles and couples, or college aged young adults.
Also, remember that anyone living there would need the same things you would need if you were moving in. A lack of proper amenities can lead to big problems later. For example, a home with five bedrooms and one bathroom could equal plumbing problems, and small things like no parking could mean the home remains unrented for long stretches.
Finally, consider the age of the home and the expected cost of upkeep. If the home would require significant renovation or ongoing repairs, this could eat into your profit.
Once you have determined your needs and parameters, the fun begins- looking for your new property!
