In recent articles, we've discussed the downsides of depending on Social Security or stock market-based plans for retirement. The disadvantages associated with these strategies make them far too risky and the financial payoffs are uncertain and potentially fragile. As previously pointed out on this blog, cash flow real estate is a possible investment route for those who want a stable and independent form of asset protection. But how does one go about choosing the right property?
Today, we'll look at some of the qualities that investors consider when looking at potential rental homes.
A great cash flow residence is affordable to all types of occupants. Some of the best renters are middle-income families and graduate students, as these demographics usually have solid financial support and typically take better care of their homes.
According to the National Multi Housing Council, a nonprofit research organization, most U.S. renters as of 2011 made between $25,000 and $50,000 per year, suggesting that many of these folks have some form of steady income. Investors should try to draw in these types of tenants by shooting for a reasonable but competitive monthly rate.
Property owners will want to locate properties that are in areas that people will want to move to. Incentives of this kind include the proximity to shopping centers and major travel arteries, low crime rate, nearby schools and hospitals and decent landscaping. Part of residing in a home is the experience of having a nice place to live, and renters will be drawn to a quality neighborhood.
When investors work with a cash flow real estate firm like GreatWealthStrategies.com, our team of advisors and experts will help them identify and purchase quality rental homes. These properties enable clients to ensure that their retirement future is secure and their money is well taken care of.