Always Do At Least One Site Visit Before Purchasing—Even If The Property Isn’t Located Near You.
Buying a turnkey rental property is one way to build a successful and relatively “hands-off” real estate investment portfolio. Even so, you should be personally involved in every aspect of selecting and verifying the information about any prospective rental property.
Even if the property is not located near you, do at least one onsite visit before purchasing the property. Although photos can offer a lot of good information and you can have the property inspected by a trusted professional, site visits allow you to verify the information you’ve collected through other sources and get a better sense of the property’s location and neighborhood.
When considering a turnkey rental property, thoroughly check out the property management situation. Although you can do most of the investigative work online or on the phone, try to meet the property manager in person to get a better sense of how well their approach meets your needs and goals.
Check Out The Neighborhood
It’s also important to take an in-person tour of the neighborhood. Look at the condition of neighboring houses, the propertyís proximity to amenities and services, and any signs of new developments in the area. They are all important pieces of information you need before buying, but they may be difficult to assess through photos or other means.
Comparable properties can give you information about property values, but they can’t quite convey what it’s like to live in the location. Is there an airport or railroad track nearby? Do neighbors have barking dogs or a dozen vehicles parked on and around their property? These are all things you must consider during your decision-making process.
Verify The Property’s Condition
Most property managers are honest, but some are not. They may provide false or misleading information.
If the property has serious repair issues, you need that information, of course. During an in-person visit, it is easier to assess the condition of appliances, carpets, and paint photos and written descriptions may not completely capture every detail.
The last thing any investor needs is a nasty and expensive! Surprise immediately after the transfer of ownership. Just as there is no substitute for crunching the numbers on any potential investment, nothing quite compares to visiting a prospective investment property in person.
Turnkey rental properties can be a very successful investment strategy, but only if you take proper precautions. Few investors can afford to buy a property that simply does not live up to expectations.
Once you purchase a rental property, you’ll need quality property management services. Your local Real Property Management office will help you protect your investment, provide professional service, minimize your costs, and maximize your income without interrupting your daily life.
To learn more and to find the nearest Real Property Management location, visit our website at www. realpropertymgmt.com.
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