I know someone, a family friend, who owns several properties around our area. If I had to guess, he probably owns around 15 houses that all have occupants who rent them out. His income from doing this is amazing and so now I am considering buying homes and doing this vs just selling them outright. Anyone else do that here? Is it more worth it?
I have never had experience buying homes and renting them out but this is what my brother does and I will be honest with you, it is a lot of work. There are a lot of people out there who will take advantage of you if you don't know your rights as a property owner. It can get real messy real fast, especially if you are managing more than one property.
I do both. I would advice that if you do intend on buying to rent out you keep them in the same area and make sure it is a good area with low-crime rates. The more crime, the more risk you will end up with people who will skip out on rent and refuse to leave.
Yes and yes. lol
I think both options are great but it depends on the kind of revenue you want. If you want long-term revenue, investing in properties to rent out is better but if you'd rather get lump sums of cash and not deal with upkeep for several years, buying and selling is better.
Simply put; It's better to buy and sell on the short run. While is better to buy and rent on the long run. So, you weigh your options and choose wisely
Renting is a headache. Trust me. I did it for nearly 10 years. I ended up selling the house and getting into sales from that point on.
You make the repairs once, sign the house over, make the money and you don't need to ever be bothered again if something else breaks.
Renting can be a very profitable venture if you are willing to put in the work and deal with issues along the way.
The area is important as well. If you see house prices dropping all around your property, maybe a quick sale is best.
The question of whether flipping or buying and holding real estate is the best strategy for investing in property doesn't have one correct answer. Rather, the decision to choose one method over the other should be part of an explicit strategic plan that considers your overall goals. You should also take into consideration the opportunities presented by the existing market.