http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm Fri, 21 Oct 2011 00:09:40 +0000 http://wordpress.org/?v=2.9.2 hourly 1 http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm/comment-page-1#comment-2103 Jerrold J Thu, 21 Jan 2010 17:36:23 +0000 http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm#comment-2103 Buying rental properties that have a POSITIVE cash flow is ALWAYS a good investment. Real estate is THE easiest, fastest way to wealth and is the most popular investment vehicle. BUT it is NOT foolproof. First you need to understand WHAT makes a GOOD rental property. It MUST be in an area with population AND job growth going up (demand) It MUST be in an area where rental rates ( $) are high enough to pay for mortgage payment, insurance, tax's, repairs, vacancy, management, AND profit. It MUST be the right size ( # of bedrooms), the right location, (schools), and the right condition. YOU need to KNOW how to evaluate the rental potential, evaluate the condition of the title, the building, estimate cost of repairs, tax structuring, purchase options and the cost of each option. have a property management company to handle the rental applications, qualifications, and record keeping. You need to know how you will finance it, the cost of the financing, the carrying costs, the holding costs, evaluate rental demand, project rental growth, job growth, progression/regression, population growth, projected tax increase, and more. You need to understand the time value of money, interest rates and closing costs, entity structuring, how to hold title, how to structure for sale, and your exit strategy. Once you know these things, IT'S EASY!! Buying rental properties that have a POSITIVE cash flow is ALWAYS a good investment. Real estate is THE easiest, fastest way to wealth and is the most popular investment vehicle. BUT it is NOT foolproof.
First you need to understand WHAT makes a GOOD rental property. It MUST be in an area with population AND job growth going up (demand) It MUST be in an area where rental rates ( $) are high enough to pay for mortgage payment, insurance, tax’s, repairs, vacancy, management, AND profit. It MUST be the right size ( # of bedrooms), the right location, (schools), and the right condition.
YOU need to KNOW how to evaluate the rental potential, evaluate the condition of the title, the building, estimate cost of repairs, tax structuring, purchase options and the cost of each option. have a property management company to handle the rental applications, qualifications, and record keeping. You need to know how you will finance it, the cost of the financing, the carrying costs, the holding costs, evaluate rental demand, project rental growth, job growth, progression/regression, population growth, projected tax increase, and more. You need to understand the time value of money, interest rates and closing costs, entity structuring, how to hold title, how to structure for sale, and your exit strategy.
Once you know these things, IT’S EASY!!

]]> http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm/comment-page-1#comment-2104 sabaku Thu, 21 Jan 2010 17:36:23 +0000 http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm#comment-2104 Buying and then renting is an AWESOME idea, but really, all it does is pay for the mortgage on the rental. You wont make much of a profit. Buying and then renting is an AWESOME idea, but really, all it does is pay for the mortgage on the rental. You wont make much of a profit.

]]> http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm/comment-page-1#comment-2105 golferwhoworks Thu, 21 Jan 2010 17:36:23 +0000 http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm#comment-2105 either a bank or commercial mortgage is required. Sure once you own them you are supposed to rent them out to satisfy the note either a bank or commercial mortgage is required. Sure once you own them you are supposed to rent them out to satisfy the note

]]> http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm/comment-page-1#comment-2106 We are all screwed Thu, 21 Jan 2010 17:36:23 +0000 http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm#comment-2106 You won't make much money You won’t make much money

]]> http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm/comment-page-1#comment-2107 The Yeti Thu, 21 Jan 2010 17:36:23 +0000 http://aspenfinancialgroup.com/i-want-to-buy-a-house-and-rent-it-to-make-money-is-that-a-good-idea.htm#comment-2107 Not until the recession is over. Housing and real estate are not good investments right now. Not until the recession is over. Housing and real estate are not good investments right now.

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