MICHAEL DINKEL | TOP 10 TIPS TO FIND INVESTMENT PROPERTIES
Michael Dinkel says that in terms of long-term value growth, real estate consistently outperforms other assets Additionally, it is less susceptible to sudden changes than the stock market is. You have a real, functional asset whether you choose to buy a home or rent an apartment to earn money.
TAXES AND FEES THELOCATIONWHEREAPROPERTYISLOCATEDCAN HAVEABIGIMPACTONTHETAXES.SOMEPROPERTIES ALSOCHARGEFEES,SUCHASACDDORANHOA. ACCORDINGTOMICHAELDINKEL,CONSULTWITHTHE LOCALGOVERNMENTAGENCIESTOLEARNABOUTALL THECHARGESSOYOUDON'TLOSETOOMUCHOFYOUR PROFITTOTAXESANDFEES. DON'T,HOWEVER,LETTAXESANDFEESMAKEA PROPERTYINELIGIBLEFORINVESTMENTPURPOSES.THE MOSTATTRACTIVEHOMESSOMETIMESHAVEHIGHER TAXESANDFEES,WHICHMAYATTRACTRENTERSWITH HIGHERNETWORTHANDLONGERLEASES.ASARESULT, INVESTINGINREALESTATEWITHHIGHERTAXESAND FEESCANHELPYOUMAKEMOREMONEY.
NEIGHBORHOOD WHENLOOKINGFORAPLACETORENT,NEIGHBORHOODSAREATTHE TOPOFTHELISTFORPROSPECTIVETENANTS. TENANTSVALUEALLFACETSOFTHEAREA,SOMEOFWHICHARE COVEREDHERE.TENANTSPLACEAHIGHVALUEONAVARIETYOF FACTORS,INCLUDINGTHEREPUTATIONOFTHEAREA,ADJACENTLOCAL ATTRACTIONS,ANDTRAFFICPATTERNS. THEREFORE,IT'SCRUCIALTOINVESTIGATETHESPECIFICSOFPOSSIBLE INVESTMENTHOMESINEACHCOMMUNITY.
CRIME RATE Potential renters often research crime statistics before determining which areas to reside in. Moreover, they often don't want to live in an area with a high crime rate. Michael Dinkel says investors should thus examine any potential impact on their investments from the local crime rate.
SCHOOLS MOSTRENTERSPLACEAHIGHVALUEONTHEIR LOCALSCHOOLSANDTHEEDUCATIONALSYSTEM ASAWHOLE. OFCOURSE,PARENTSOFSCHOOL-AGECHILDREN WANTTHEIRKIDSTOGOTOREPUTABLE SCHOOLS.HOWEVER,BECAUSEEVERYONE WANTSTOLIVEINAGOODAREA,THEATTITUDE MIGHTEQUALLYAPPLYTOTENANTSWITHOUT CHILDRENINSCHOOL. THEREFORE,EVENIFYOUARERENTINGTO RETIREES,ITISWISETOMAKESURETHATTHE SCHOOLDISTRICTASAWHOLEHASAGOOD REPUTATION.
LOCAL EMPLOYMENT REAL ESTATE INVESTMENTS ARE BOOSTED BY ECONOMIC GROWTH, WHICH IS ALSO REFLECTED IN THE LOCAL JOB MARKET. TO WORK AND LIVE IN A TOWN, RESIDENTS REQUIRE A ROBUST JOB MARKET, AND EMPLOYEES FREQUENTLY PREFER LIVING CLOSE TO THEIR PLACE OF EMPLOYMENT SINCE IT OFFERS A HIGHER QUALITY OF LIFE THAN TAKING LONG COMMUTES. WHEN LOOKING FOR AREAS TO BUY AN INVESTMENT PROPERTY, SEARCH FOR LOCATIONS WITH A STRONG EMPLOYMENT MARKET, A BOOMING ECONOMY, AND A STRONG HOUSING MARKET.
ORDINARY RENT MICHAEL DINKEL SAYS THAT EVEN IF YOU HAVE A RENTAL HOME WITH THE FINEST PHYSICAL CONDITION AND STUNNING EXTERIOR APPEAL, THE PRICE MUST BE FAIR. PRICING AT 50% MORE THAN THE HIGH END OF TYPICAL RENTALS IS NOT ACCEPTABLE. RESEARCH TYPICAL RENTALS BEFORE PURCHASING AN INVESTMENT PROPERTY TO ENSURE THAT IT CAN PRODUCE A MONTHLY CASH FLOW AND THAT IT IS NOT AN OVERBUILT PROPERTY FOR THE NEIGHBORHOOD.
AMENITIES POSSESSING FANTASTIC FACILITIES AND EXCITING NEIGHBORHOOD ATTRACTIONS IS ONE OF THE BEST WAYS TO ATTRACT POTENTIAL RENTERS TO AN INVESTMENT PROPERTY. LOOK FOR INVESTMENT PROPERTY IN COMMUNITIES WITH A POOL, A CLUBHOUSE, TENNIS COURTS, ETC. ADDITIONALLY, LOOK FOR TOP-RATED AMENITIES IN THE NEIGHBORHOOD, LIKE MALLS, PARKS, AND MOVIE THEATRES.
PERMITS FOR CONSTRUCTION AND FUTURE DEVELOPMENT DEPENDINGONWHATISBEINGCREATED,FUTUREGROWTH FORAPLACEMIGHTEITHERBEBENEFICIALOR DETRIMENTAL. TOFINDOUTIFTHENEIGHBORHOODISDEVELOPING QUICKLYANDWILLBEADESIRABLEPLACEFORFUTURE RENTERSTOLIVE,SPEAKWITHTHEMUNICIPALPLANNING DEPARTMENT. ARENEWSCHOOLSBEINGCREATED,SPORTSTEAMS EXPANDINGANDRELOCATING,ANDCULTURAL INSTITUTIONSCONSTRUCTINGNEWFACILITIES?ARENEW ANDMAINTAINEDHIGHWAYSBEINGBUILT?DOESTHERE EXISTACIVICTHEATRE,ANDDOESITREGULARLYOFFER EVENTS?
DETAILS ABOUT VACANCIES AND LISTINGS YOUCANDETERMINEWHETHERACOMMUNITYHASBEEN REJECTEDANDPEOPLEAREMOVINGOUTBYLOOKINGAT LISTINGANDVACANCYSTATISTICS,ORWHETHERPEOPLE WANTTODWELLINTHEAREAANDSELDOMSELLTHEIR HOUSES.ADDITIONALLY,THEYCANREVEALWHETHER OTHERINVESTORSAREHAVINGTROUBLEFINDING RENTERSORWHETHERTHEIRTENANTSARESTAYING LONGERTHANUSUAL. MICHAELDINKELSAYSTHATASANINVESTOR,YOU SHOULDPURCHASEBUILDINGSINSOUGHT-AFTER NEIGHBORHOODSTHATWILLBESIMPLERTOLEASEAND HAVELONG-LASTING,HIGH-QUALITYTENANTS.
Although weather and climatic trends are impossible to anticipate, certain places have historically experienced more natural catastrophes than others. In addition, some places are more severely affected by natural disasters than others. For instance, because they are below sea level, some places are more vulnerable to floods and pose greater hazards to investors. The decision to invest in high-risk locations is yours, but at the very least, keep this in mind while buying and renting investment property.
FREQUENCY OF NATURAL DISASTERS
THANK YOU FOR YOUR TIME! MICHAEL DINKEL
