Investing for Retirement in 401(k) or Real Estate? Good News Is, You Don't Have to Choose
I have been investing for a long time, and I know exactly what makes a good rental property investment. Over the decades, I have put into place the kind of infrastructure that investors need to simplify and streamline the whole process. We advise people about what to invest in and help them with financing. We also help them find reliable property managers. To understand how the whole process works, let us understand the key indicators of good rental investments. Let us understand how to make the choices that will result in investors getting the best return on their investment (ROI).
I have said this a million times and I will say it another million times: the 30-year fixed-rate loan is a gift no American investor can afford to pass up. This is what has the ability to transform financial futures and create actual wealth. This is the one thing that actually improves with the rise in prices and with inflation. It is the one thing that becomes easier to repay as the years go by. So, the first key factor to what makes a good rental property investment is opting for this loan.
When I speak of real estate investments, I'm talking about residential, not commercial property. I am talking about single-family homes rather than apartments, condos or duplexes. Also, I am talking about brand-new, single-family homes. I am talking about good quality, well-appointed, aesthetic homes as investments. These are the kinds of homes that people; especially young professionals with kids, are looking to live in.
What makes a good rental property is something that will fetch investors a good rental income. Since these are brand new homes, there is very little likelihood of breakdowns, need for repairs, and so on, keeping maintenance costs low.
The most in-demand type of rental homes are the ones in the nicer neighborhoods of good suburbs. This is an important factor of what makes a good rental property investment. Right now, I would recommend buying in the suburbs of large metropolitan areas in the sunbelt states. As someone who has been a keen observer of demographic changes in the country, I have noticed more of an influx into certain states. More people are looking to move to places in Nevada, Arizona, Texas, Oklahoma, Louisiana, Georgia, and Florida. So this is where the demand for rental homes is relatively higher. These are also markets with more growth potential than many other markets.
Very importantly investors should steer clear of investing in some places. For instance, I don't invest in the North or the Midwest. I also don't invest in the more expensive markets such as New York and LA. It is better to invest in places that have growth potential than in places that are already too expensive. More expensive markets may offer lower ROI.
The point is that at ICGRE, we have it all figured out for you as to what makes a good rental property investment. You will have access to our networks and contacts, and there are people at hand to explain and streamline processes. All this at no extra cost to you. To know more, just drop us a line at email@example.com and we’ll be happy to set up a meeting.