If you are thinking of investing on real property, here are some tips on how to get started:
The first thing you’ll have to remember is that no more than 36% of a buyer’s gross income should go towards debts so review your finances. You can get a copy of your credit report from companies. After that, you can determine how much you can borrow.
Don’t be too excited. Visit as many properties before buying. Get a realtor and ask if you can look for properties that you can upgrade. Haggle. The wisest buy is when you get the property at 20% below the true market value.
Consider the location of the property as it has a large impact on a home’s value. Does it have easy access to transportation, school, malls and highways? Check out the rooms. Garages, attics, and closets, and bathrooms can all make a difference when you charge rent. A backyard is also an attraction for families with children, or those planning to have children. Don’t forget to inspect the electricals, plumbing, furnace, and the foundation and the roof. Make sure they are in good condition. Repairs of these can be costly.
You can save money if you do repairs yourself so you can splurge a bit on appliances and fixtures and other stuff that potential tenants like.