Paperwork Problems: Understanding Home Purchase Forms

« Back to Home

What To Look For When Buying Real Estate For A Rental Property

Posted on

Have you been wanting to take advantage of low interest rates to purchase a home to use as a rental property? If so, your needs are going to be different than what you looked for when buying your personal home. Here are some things to look for in a home that will be a good investment property. 

The Yard

One thing you want to consider is if the home has a yard. A common reason that many people decide to rent a home rather than an apartment is because they want to get outside more. They may have a dog that they want to let run free a little bit more, entertain outside, and or finally have a garden. If the home doesn't have an appealing yard, either due to size or features, it may not be an appealing aspect of your rental property. 

The Number Of Bedrooms

Something that is not easy to change about a home is the number of bedrooms. If there is a family looking to rent a home to get more space for their family, they may need at least three bedrooms to make the space work for their needs. If you buy a home that is cheap and only has two bedrooms, you may find that it will not work for many renters that are looking to move out of an apartment and into a rental home.

The Location To Public Transit

You may not have a need to use public transportation, but potential renters may. That is why you should consider the home's proximity to public transportation. Is it within walking distance of a nearby bus route or train line, or will it be difficult for someone to live at your home without a car? This is definitely something to consider if you are buying a residency near a big city where public transportation is frequently used. 

The Neighborhood

Consider what kind of renter you are looking to attract, and if the neighborhood it is in will attract that kind of person. For example, if you are buying a home near a college town, you will likely be getting a lot of interested students looking to rent the home. If you are looking for families that will be more stable as long term rentals, farther into the suburbs may be the best location to find that kind of renter. 

Contact a real estate agent for information regarding real estate listings.