Flipping houses can be a decent way to generate income, but one of the realities is that the income earned from house flipping is erratic at best. Flipping houses is a high-risk investment strategy with vast possibilities but a good deal of inherent problems. Investors could wait around for months or even years to see any gains coming from a single flip. To minimize these uncertainties and create a more consistent income stream, why not add one or more rental homes to your flips? Rental properties are one of the most stable investment possibilities on hand, providing investors with long-term growth rarely matched by stocks or other retirement products.
The popularity of reality television about house flipping has created something of an unrealistic perspective on what flipping houses produce. While it is workable to purchase, remodel, and re-sell a residential property quickly and profitably, usually there are complexities or problems that must be fixed along the way.
For example, homes that are under construction are usually targeted by thieves and vandals besides other properties. These are crimes that could result in costly losses. Bad weather, burst pipes, and any number of other unforeseen events could create premium rebuilds that were not included in the original budget. Therefore, house flippers need to be prepped not only for when conditions are good but also for the very real possibility that something might go bad.
Concerning flipping houses, even a best-case scenario flip entails months of hard work. The time required in flipping a house can be considerable, from finding a property to arranging financing, closing, remodeling, and finally listing the property for sale. During this entire period – however, extended it may be – the property won’t be generating an income since the only revenue an investor realizes from a flip comes after the property has been sold. Some investors are capable of managing multiple house flips in a single year, expecting to make a more frequent and consistent source of income. But more frequently, houses are flipped one at a time, making it challenging to foresee when that investment will ultimately pay off.
That’s why house flippers will greatly benefit from having more than one revenue stream. There are many opportunities in the real estate industry, but the one that offers the most unchanging income opportunities are residential rental properties. Buying and renovating rental homes is a route very comparable to flipping houses, but there are limited clear advantages. When buying a home to use as a rental, investors can enlist the help of a quality property management company to do a lot of the heavy lifting for them.
When property proprietors employ Real Property Management Insight, they get expert market assessments on all prospective and current rental properties, confirming that stockholders have exact information on rental rates, market value, and so on. We also offer access to dependable home remodeling and repair experts, ensuring that any effort finished on the property is finished great and properly the first time. To conclude, we market the property and lease it to quality tenants, giving investors with consistent rental income while they track other real estate activities.
When all of these benefits are added collectively, it is clear that contracting a property management company is not so much of a burden as it is a valuable asset on your real estate team. The experts at Real Property Management Insight can make possessing Radford rental properties one of the stress-free real estate investments you’ve ever made, giving you extra time to follow other characteristics of your real estate business. For more information, contact us online or call us at 540-998-6917.
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