Owning a single rental property is an accomplishment. To extend potential profits and build wealth, property owners must often invest in more than one property. If you own one, you know the work that goes into managing it. How will you take it to the next level? Hire a Columbia property management company to support the process.
The insight property management companies provide is exceptional. Our Rent Estate™ Advisors provide you with hands-on training and support every step of the way, including extending your portfolio in a way that fits your financial goals.
What a Property Management Company Can Do for You
Utilizing the services of a Columbia property management company could save you time, money, and frustration. Our Rent Estate™ Advisors at Renters Warehouse BW Metro can do numerous services and resources for you. Here’s a look at some of them.
Knowing When to Expand
The first step your property management company can help you with is knowing when it is time to buy real estate. For example, the real estate market in Columbia right now (as of February of 2020) is hot—with homes selling within seven days of being listed and some selling over list price. Home sale prices average $355,000. With a very competitive market space, you need to be careful about what you are buying while also being ready to buy as soon as a property comes on the market to meet your goals.
At the same time, there’s a strong demand for rental properties in the area. For example, the area has over 80 rentals available on the market at this time, with prices ranging from $910 to $4,300. There is a sizable demand for rental homes, making even higher price points for home purchases worthwhile. Your property management company can help you navigate whether now is the time to buy based on your specific goals.
Knowing What to Buy
What type of home will be most attractive to the highest quality of renters you are interested in working with as a property owner? Is a single-family home the ideal choice, or should you consider a duplex or multi-family property? This can be very specific to the local market. Property management companies can help you navigate those concerns, ensuring you have access to the right type of property to maximize your portfolio.
Knowing the features of the neighborhood and the style of home renters prefer in your area can help you make a wise financial decision. A property manager can guide you in choosing the best investment for your specific goals and achieve the ROI you have in mind.
Knowing How to Buy Rental Property
One of the ways your team can help is by helping to set up your purchase. While it is up to you to secure a loan, they can offer insights into how to purchase the rental property. That includes helping you to determine what type of loan, how much of a down payment, and what expenses to expect from each. In doing this, you can minimize the risk of having a mortgage loan that’s too high compared to your rental income opportunities.
Home Buying for Rental Property Is Different
The investment property you seek needs to be a bit different from a home you plan to live in long term. When you are comparing options, it is critical to see the differences. What renters want and need can be significantly different compared to what may be ideal for you. You also have to weigh the ROI of any investment strategy.
Some of the ways your Columbia property management company can help you include:
- Knowing what the local renter in the area needs and wants
- Expectations for upgrades so you don’t upgrade too much
- Property pricing (recognizing how much you can actually get within that neighborhood)
- Defining features of a property that make it worthwhile as a long-term investment
- Location information, down to the street neighborhood, about the type of renters that typically live in that area
- Key rental property return investment strategy development (an insight that you would not have otherwise)
You may have many ideas about turning a home into a place you would want to live. However, it's more important to have insight and prioritize what will be most profitable for your portfolio in the long term.
What Should You Do Now? Choose Columbia Property Management!
Building your real estate portfolio is more profitable with the right property managers. Knowing when to buy your next properties and what to buy requires the right experience and analysis for a healthy investment portfolio! Renters Warehouse BW Metro is here to help whenever you're ready to take the next step in building your portfolio.
Aside from calling our Columbia property management team for more information, take a moment to download The Guide to Finding the Best Property management Company. This is the first step in building a strong portfolio, whether this is your second purchase or your 10th. Let our Rent Estate™ Advisors guide you in making wise decisions.