It seems everyone these days is at least considering owning investment property.  There is no shortage of books, tv shows, radio commercials, your wierd Uncle Ned, your rich Aunt Mary, or investment magazine advice promoting this one way or another.  But is this the right fit for you?  

  1. Lots of questions immediately come to mind:
  2. Are you handy? 
  3. Do you have some risk tolerance? 
  4. Do you have funds available to repair things that will inevitably go wrong? 
  5. How hands on do you want to be?
  6. Do you want to invest for cash flow or for appreciation? Or a combination of both? 
  7. Do you have a network of maintenance companies or professionals? 
  8. Do you have a working knowledge of how home systems work? 
  9. Do you want to be hands on or hire a property manager? 
  10. Are you willing/available to manage tenants and repairs as needed? 
  11. Do you want to find a fixer-upper? 
  12. Do you want to flip homes?  Trust us- it is not as easy as it looks on tv.
  13. How many homes do you want in your portfolio? 
  14. What price range would you like to target?  
  15. Are you interested for short-term or long-term investments? 
  16. Do you trust others to manage your money for you? 

The list goes on and on.  Investment properties can certainly be a lucrative business, but it does come with risk.  You are trusting other people to maintain your assets, work hard to pay you, and communicate.  Things break.  Tenants get divorced, or fired, or move, or don't maintain things.  Some homes don't appreciate.  Some actually depreciate.  If you are still reading, then read on.  The flip side is things don't always break.  People are generally good, and people do work hard to pay bills and take care of their homes (your investments).  Some homes appreciate.  Some appreciate a lot.  Investing in rental homes can be a great source of cash flow now and wealth in the future.  

Heritage Homes works with seasoned investors, has many investors on staff, and has some solid advice for anyone looking to get into the business.  Let us know how we can help.