Flipping or Renting? Which Option is Best?
Many investors, big and small, are reconsidering flipping houses
in this slow-as-molasses housing market we are in. Renting an invest-
ment home is becoming a much more viable option in many markets,
including Grand Rapids Michigan.
This article discusses the new trend to rent an investment house
to get a fast dollar return. Single Family Rental homes are in high
demand in most market areas but check with your local realtor
before splashing into this pool.
Renting single family homes is very often the only choice for sellers
that find themselves unable to sell their home for the amount they
have invested. This option can be a great alternative to selling;
as long as you have all your bases covered:
- Renters may pay or not – Do you have contingency funds?
- Do you have an eviction plan? This can happen to anyone – be prepared.
- Renters may damage your property –Plan on additional funds.
- Video home before moving in with tenants – condition is verified.
- Houses need Maintenance – plan on time/money for repairs.
- Consider a property manager if you don’t want to deal with tenants.
- Home insurance canceled and/or increased – vacant homes are at risk.
The Rental home market isn't for everyone. Be sure you know what you are
getting into before committing to this strategy.
Syndicated from: www.grandrapids-realestate.com