What Makes an Orlando Property a Profitable Rental Investment?
Residential rental properties in Orlando almost always make good investments. But, when you really want to measure your potential for profit, you have to be strategic in the opportunities you choose to pursue. Investment properties can be financially rewarding when you choose wisely. Surround yourself with local experts, especially if you’re investing for the first time.
Here are the most important things to consider when shopping for an income property in the Orlando real estate market.
Location Leads to Profit
Location always matters when we talk about real estate. This is true for Orlando rental properties as well. Most of the tenants in the area want to be close to work, schools, and shopping. Walkable neighborhoods are more popular than ever, and people want to enjoy privacy and space while still feeling like they’re part of a community.
Tenants with children will be looking at school districts, so do a little research into the local schools before you buy. Look for a property that’s accessible and easy for commuters, students, and families. Buying something too remote will not necessarily be profitable because of the risk of a longer vacancy or a lower rental value.
HOA neighborhoods are more common than ever. It’s usually a good idea to invest in these communities, just make sure the rules and regulations of the association allow for rental homes.
Well-Maintained Homes are Worth More
Avoid maintenance red flags. If you walk into a property and there’s a strong odor that makes you think of mold – stay away. If pests seem to have burrowed into the roof, you probably will have to spend more money than you want to spend getting the property ready for the market.
It can be tempting to buy a fixer upper. After all, the price is usually lower, and you can get excited about putting your own touches on the home. But, remember this isn’t a home you’re living in yourself. It’s a rental property, and you’re going to want to collect rent as soon as possible. Buying a home that needs a lot of work means that you’ll have to spend a lot of money getting it ready for the rental market.
Most investors can’t afford to wait. They want to start earning rent right away. You can spot a profitable rental investment by its condition and structure. Look for a well-maintained property that tenants will find attractive and appealing. Have it inspected before you buy it. Talk to a property manager so you’ll know if any repairs or updates will be needed before you list it on the Orlando rental market.
Check Vacancy and Rental Rates
A profitable rental home won’t lose money on vacancies and low rent. If you come across a neighborhood with a lot of empty homes for rent, such vacancy may indicate that it’s difficult to find tenants for the area.
You’re also looking for a reliable rental range. A profitable rental property will bring in high rents. Research the area and the average rental values so you’re comfortable understanding what you’re likely to bring in. An Orlando property manager will have some especially reliable data when it comes to these important statistics.
We can help you find a profitable Orlando investment property. Contact our team at Homevest Management. We are experts in Orlando property management, real estate, property rentals, and HOA management. We serve all of central Florida, including Winter Garden, Doctor Phillips, Baldwin Park, Winter Springs, and Windermere.