In the world of investment, real estate is king. The potential for massive returns on your investment, the sheer variety of potential investments, and the wide array of resources that exist to help you locate investments make real estate a must for any serious investment portfolio. Finding the right inclusions will help you skyrocket your investment profits and set you up for many future profitable endeavors in future real estate opportunities. But how do you locate a property that’s tailor-fit for your investment needs? To help you do just that, here are 5 tips for finding the perfect investment property:
1. Advertise Your Interests
Locating and securing an investment property can often prove just as frustrating as getting the funding for one. However, one of the best tools potential investors often overlook is their own community. Whether you’re reaching out to friends, family, or people you know from church, advertising that you’re looking for that hot new rental property can vastly increase your chances of finding a great spot.
When you’re looking to invest in a smaller, more tight-knit community, this tip will become extra helpful. While you ask around to find the ideal property to invest in, you might just happen upon a future renter as well.
2. Drive Around Hot Spots
With the sheer amount of websites and online locations dedicated to listing potential investment properties, many investors (both new and old) completely forego considering any properties that are not listed online. However, seasoned property investors will tell you that there are always hidden gems out there waiting for those that put the extra effort in, and in-person-only listings are one of the best ways to find them.
Pick out some prime locations that you’d love to have an investment property in, then simply ride around and keep your eyes peeled for signs advertising spaces that would fit your needs. With properties owned by older people, the chances that they avoid listing online increase significantly, so avoid passing up this little-known, but amazingly helpful route! Combining this technique with local outreach will be sure to help you speed up your timeline for finding the perfect investment property.
3. Focus on Emerging Neighborhoods
The nightmare scenario of investing in a seemingly-excellent property, only to find that the demand for the property is much lower than expected has almost certainly entered into the mind of both new and old investors. To avoid finding yourself living out this nightmare in real life, it’s always a solid bet to invest in properties that are located within a known emerging neighborhood.
Following this tip will not only boost your ability to find reliable renters, but will boost the chance that you’ll have access to valuable tax incentives and other perks. Especially for readers who are just getting into purchasing investment properties, this tip should help ease their minds during this exciting new journey.
4. Determine Maintenance Issues Ahead of Time
Before you pull the trigger on a potential investment property, finding out every little potential problem or upkeep need associated with the property is essential. Not only will this practice help you save money in the long run, but it will keep your stress low as you go about securing financing and making your new investment property completely ready for new renters.
Especially when you’re dealing with older investment properties, hiring help that specializes in determining the maintenance issues of a property is highly recommended. The next tip in our list will help you solidify your list of maintenance and upkeep needs as well.
5. Study Local Markets
Understanding the demands of customers in your area is essential to standing out amongst the competition. If you lack a wide knowledge base of not only the growing real estate demands of renters in your area, but of the offerings your competitors wield, making a strong return on your investment with rental properties can become a daunting task.
Thankfully, acquiring this valuable information has only become easier in 2020, with the expansive amount of online resources available to assist real estate investors. Simply put together a comprehensive document that lists property features you want, and important information about the area surrounding a potential investment, and you’ll be one massive step ahead of your competitors.
The Perfect Investment Property is Out There Waiting for You
With these five tips, you’ll be able to locate and secure your next amazing investment property in no time. 2022 is shaping up to be a fantastic year for investors, so be sure to jump into the game ASAP. Big firms have been pushing hard to secure spots that promise massive ROIs, so you’ll need to put in the extra work to ensure you beat them to the punch.
