Derisory remuneration of bank savings requires we must look elsewhere for profitable investments. We suggests, investing in the rental, for example, allows you to grow your capital very advantageously. For this reason, this method is increasingly popular and publicized. You too, get started to invest in the rental!
Be careful, however, not to fall into one of the many pitfalls that can turn a beautiful project into a nightmare. Rental real estate, a very good investment in general, can become a real quagmire if it is poorly prepared or poorly managed. It should be done step by step before embarking on such projects. Here are ten variables to check before investing in the rental.
Criteria to check before investing
It is advisable to carry out a real market study before buying a good to rent it. Jesse Keyes says, there are two dimensions to looking at apartments and houses: making sure they don’t have too many flaws, and that they are suitable for the type of tenants desired. Here are some criteria to define before setting out in search of the ideal place.
The target clientele: students, young professionals or families do not have the same expectations. They do not offer the same guarantees either, and do not have the same purchasing power.
According to Keyes, the rental rate: a 3/6/9 lease, a seasonal rental, or a bet on Airbnb do not require the same logistics or the same efforts at all.
Furnished or empty? : a furnished rental is rented more expensive than an equivalent empty rental, but with a lease contract of only one year against three years, involving frequent changes of tenants, with as much inventory and procedures.
Then, you have to carry out the visits keeping in mind the defined criteria. It is their presence that must be verified to invest in the rental. The protocols and good research practices are much the same as for a basic purchase.
According to Jesse Keyes, Make sure above all of the quality of the construction of the building, the exposure of the apartment, the soundproofing, the insulation of the windows, the water flows, or the general condition of the building. plumbing.
You can also ask for proof of work, or even carry out a follow-up visit, in order to be sure not to leave anything to chance. Finally, do not hesitate to make a visit with an architect. In this way, you will be able to make a precise estimate of the work before the purchase.
It is essential to choose the correct address for your next rental investment. Why? Quite simply because the environment is one of the major criteria which makes it possible to give value to a property.
For this reason, Jesse Keyes explains why opt for a pleasant area to live in, well-served or close to shops or schools. Reason in terms of the target. Indeed, if you plan to rent to a student, university campuses and bustling city centers will be preferred locations. On the contrary, for families think of the proximity of schools and green spaces.