Not all real estate investors are
necessarily multi-millionaires who buy Las
Vegas homes in all-cash. Normal people can also make good investments and
get a positive cash flow. Here are some things you need to consider when buying
an investment property:
1. The first thing you need to consider is
location. Las Vegas homes that are located in a desirable area will attract
more tenants that will be willing to pay a higher price. Also, a property
located in an attractive location will be more resilient to the ups and downs
of the real estate market.
2. Don’t overspend when fixing up on your
investment property. Granite countertops and stainless appliances aren’t really
necessary and after the tenants move out you’ll be sure to get some reasonable
wear and tear. Most renters are satisfied with units that are bright, well-lit,
and most importantly, clean.
in mind that the real estate today is a buy-and-hold investment for at least
five to ten years. There is probably more risk in a shorter time frame. And
though rentals for Las Vegas homes
will almost certainly appreciate over the next 20 years, what will happen in
the next few years is in unpredictable.
4. Think about the future. Long-term ownership makes the most sense for
small investors. This way, you’ll have plenty of time to keep up with the
changes in the market, and your income from the rent will be a nice supplement
for your job. Historically, real estate has always been an excellent investment
always appreciating a few points over the rate of inflation.
5. Always be ready and keep cash on hand. These days, buying a non-owner occupied property requires at least
25-30% down payment.
6. Calculate first the expenses of ownership.
These consist of the costs of owning and managing a Las Vegas home, like
property taxes, insurance, utilities, maintenance, vacancies, repairs and
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7. Keep a sharp eye. When looking at a home, you should look
beyond its physical state and see what improvements you can do. This way you
can score a great deal.
8. Seek out professional help when doing your
renovations. Ask out people you know for recommendations for electricians, plumbers,
painters, and contractors.
9. Always choose your tenants carefully. Do a
credit check and call former landlords to check whether they pay on time, what
is the condition of the property when they left, or of they caused any problems
with the neighbors.
10. Know your rights as a landlord. Learn about
the eviction process and other issues that you might face so you can do things
11. Consider all your options carefully.
Generally, a building with 3-4 units or duplexes does best, followed by Las Vegas homes with 3 bedrooms. Some
investors buy a duplex and move into one of the units.
Most importantly, enjoy the benefits of
your investment property. Managed properly, these investment properties are a
great source of income. You can also take advantage of the amazing tax benefits
to make your investments pay off.