If you have been looking for a different type of income opportunity you might want to look into owning rental property. It’s a great way to make continual residual income. In fact, it’s always better to have assets that bring in more income than ones that generate expenses.
Owning rental property isn’t all simply about the money you’re bringing in though, and you will have some expenses along the way, but as long as you can keep your property rented you will continually have that money generating.
Here are some ways that you can get into this field, and how to make sure that it becomes a lucrative career for you.
Flip And Rent Houses
While some people buy homes to flip for the singular intention of selling them at a higher cost once the place is fixed up. However, there is the option to flip and hold the place. By doing this you can rent the place out and make money on it as a rental property, instead of just the one lump sum you would get from a sale.
If you decide to move from your own home and find that you are not having any luck selling you may also want to decide to rent out your home. It’s better to have someone in your home and earn money from that than to have your house sitting empty and still costing you money.
Purchase An Apartment Building
If you have the drive, and the money for the investment, purchasing an apartment building is a great way to make money. You, of course, need to look into the rules and regulations in your area about rental properties, even when it comes to flipping homes.
The initial investments, like paying for insurance to protect your business prospect and fixing up the apartments, will quickly be made back as you rent out to trustworthy people that regularly pay their rent on time.
Build College Rental Units
Whether you are looking at a building with preplaced rental units or you buy a larger house in which you can organize numerous rooms, having rental property in a college area can be a great way to become a landlord. If you have space in your current home’s backyard, then you can also get help from professional builders (like those at United Dwelling), to help build an ADU that can serve as a standalone home to rent out, whether for students or family. Remember though, that teenagers have a tendency to be messier than adults and you may have more work to do in between renters.
Make sure that you do everything right, not just having home insurance. Make sure that you have leases for your renters. You can help cover expenses from someone that moves out and leaves a mess by getting a deposit on your rental unit(s).
Don’t be a slumlord though. Make sure that you fix issues when renters come to you with complaints or with problems. Nothing will leave you with vacant apartments and homes quicker than not making your current renters happy!