A rental property bought in a market at a distance from where you live could be something you want to add to your investment portfolio. There are numerous reasons for doing so, especially if you know a certain market is ideal for owning a rental home in Kingsville. You may even want to try purchasing your new rental property sight unseen. After all, this is a common practice among rental property investors. Buying rental properties sight unseen, however, has some potential pitfalls that you definitely want to avoid. Here are some top tips by real estate experts to help you buy your next profitable rental property sight unseen.
Get a good real estate agent.
The key to successfully buying a property sight unseen is the right real estate agent. There is no substitute for someone who knows the local market, has expertise in the type of property you want to buy and is willing to send you detailed information about each listing. To make sure you will be hiring the right person, ask for references, scrutinize their experience, and conduct interviews. You will be working closely with this person, so it is very important to find a good fit.
Ask the right questions.
It is important to ask a lot of questions and gather as much information as you can whether you plan to tour a listed property or not. Most especially if you cannot be on-site to see some things for yourself. For example, you must ask your real estate agent to send you a floor plan or the dimensions and rough layout of the property if the floor plan is not available. Also, ask about the visible condition of the property and other things like sounds and smells. These are the kinds of information you can’t glean from a photo.
Research the area.
Other than the details about the property itself, you also need to know as much as you can about the potential new neighborhood. Google Earth is a good place to start. You can also use Google Maps to view the property’s street. You could also ask your real estate agent to include a walking tour of the area in a video tour of the house so you can get a feel of the surroundings.
Request video tours at different times of the day.
A good way to learn a lot about a potential property is to look at it several times at different times of the day. A property that appears to be on a serene neighborhood lot in the morning can have rowdy neighbors, late-night train sounds, or other nuisances occurring after dark that your daytime tour would have missed. Things can look very different in the daylight and after dark.
Enlist friends and family to help.
If you happen to have friends living near the rental property you want to buy, consider asking them to tour the property or drive around the neighborhood in your place. It is always good to have a second set of eyes that could spot some things your real estate agent missed. Since they are residents, they can also give you a better sense of how the different parts of town and the property’s neighborhood actually feel.
Get an appraisal and a home inspection.
Finally, you must insist that a professional appraisal and home inspection be done. While many lenders require both as part of the financing process, you should still schedule a professional inspection even if it isn’t required. An inspection and appraisal can bring to the surface a number of issues, from serious structural problems with the property itself to elements that could greatly impact your property’s value. Things like these are important to know before committing to the purchase.
Of course, one of the best ways to buy a property sight unseen is to purchase one that Real Property Management Shoreline manages. Our Kingsville property management experts know every detail of the property and can often help you find off-market deals before they’re even listed. To learn more, contact us online.
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