Creating revenue streams is the dream of every real estate investor. Creating and maintaining real estate investments is tricky, but not impossible! If you are a real estate investor in Phoenix looking to expand your portfolio and create reliable revenue streams, renting is a necessity. We cover how to turn small rentals in a steady, and profitable revenue streams, and why hard money loans Arizona, can help you build your revenue streams.
Why Rent When You Can Flip?
Flipping is a great way for real estate investors to get started and seems much more risk-free than renting your investment properties. So Why do when presented with the option do more and more investors look towards renting properties? The easy answer is ‘passive income’. While flipping may see larger one-time profits, over time having a rental portfolio is an easy way to secure assets and have a steady income to fund new investments. It also may see fewer risks over time as compared to flipping. While house markets can fluctuate rapidly, rentals are here to stay. In fact, in the past year, average rental prices have grown over $956, a 3% increase compared to the previous year, when the average rent was $932. So for real estate investors, and hard money lenders rentals are always a safe bet. For those who are cautious of landlording, real estate management companies can help and set you on the right track for your investments. Renting your investments is an easy way to create steady monthly incomes, and an easy way to pave your path for a early retirement.
How To Find A Quality Rental
Finding quality investments doesn’t have t be nearly tricky as it sounds. Having a clear understanding of your rental strategy is key to finding your best properties. Renting homes is a great way to have higher rents, but only one amount, while condos or even homes close to colleges may be great for small rents divided amongst a large group of people. Both strategies come with pros and cons, but for first time investors renting a home to a single family may be less difficult strategy. By focusing on a single rental property at first will make it easier to maintain, find and keep quality tenants.
A quality rental property will have the following: a great location, easy access, a good neighborhood, parking, and amenities. While Rent price may be a deterrent or some tenants, good quality tenants are willing to pay more for their favorite amenities. Here is how to check off a good rental checklist.
Location: Easy access to major highways and roads without too much noise pollution in the property itself. Neighborhood: Safe, quiet neighborhood. Curb appeal throughout, and where a tenant would not mind walking their dog.
Parking: having a garage, or covered parking is a great way to attract quality tenants. Being able to protect their car is a great way to ensure a higher rent.
Amenities: Local restaurants, parks, and shopping centers are key. Having all of these within easy access of your rental will keep quality tenants to your rental. Hard money loans az can easily upgrade your rental and give you the appliances and upgrades tenants want. So don’t rule out properties just for the sake of them needing a facelift.
Finding and attracting quality tenants to your rental properties is essential in order to create your revenue stream. Empty properties mean empty pockets. You can find quality tenants simply by asking for higher rents, (but keep the price competitive) and asking for backgrounds and credit checks can scare off bad tenants, and only have higher quality Tenants apply. Another way to find good tenants is to have upgrades and appliances that tenants want to have. By having a modern property for your tenants to rent you can guarantee that they will take good care of your property, and by choosing a great area, you can find great tenants easily. You can read more about how to find great tenants here.
Upgrades To Maximize Your Rentals
Having upgrades and features your tenants want is ideal to keep your rental occupied. So upgrading regularly is necessary for those looking to create passive incomes. These 3 easy updates will have tenants want to sign your lease when they tour your rental!
Tenants want curb appeal for their rentals, so having a beautiful exterior is key as this is the first impression you will have of your property. You can easily update your curb appeal by adding a new coat of paint, power washing, and completing some minor landscaping, depending on your property. You can read more about how to boost your curb appeal here.
Tenants want appliances, especially ones that are easy to use and make everyday life easier. So what is the appliance that tenants want the most? Washers and dryers. Tenants moving from college dorms and apartments, want the convenience of doing their own laundry. Tenants will willing to pay more for the convenience of not having to go to the laundromat. Other appliances to consider for your rental: dishwashers, microwaves, and gas oven or stoves. Making these three upgrades can help you maximize your rental and create passive incomes.
A beautiful property can guarantee a strong passive revenue stream. So having upgraded property features is an easy way to secure that income. Upgrading the kitchen, and bathrooms, as well as having beautiful bedrooms are required. Add light fixtures and other features that tenants will love. Hard money loans az make funding and performing these upgrades easy. Home rehab loans are made for real estate investors looking to create top-dollar properties. Hard money loans in Arizona like Prime plus mortgages, can fund projects within two days, and can approve loan requests same day! Hard money lenders work with house flippers in Arizona, by advising them on repairs and budget plans and offering custom loan packages for their properties. Hard money loans are easy to apply for and only take a few clicks, making them hassle-free and convenient for organized flippers! If you want to learn more about our fix and flip loans, click here!