Purchasing property in Broward County can be a great investment, however, there are some important tips to consider when buying an investment property altogether.
One of our favorite real estate sayings to live by is “don’t wait to buy real estate, buy real estate and wait.” The longer one waits to buy real estate the more the property will increase over time and the more money it will cost you.
With our experience in property management, here are some of the top tips you should consider when buying an investment property in Broward County.
Look at the future development of the area
Before investing in a property, you will want to make sure that the area will continue to attract quality renters and that the municipality plans to grow and invest in their surroundings.
You can contact your local municipal planning department to get a rundown on their future development plan and see what the area is planning to do in the next few years. Try and dive into the construction plans and see whether or not they plan to build a lot more houses in the area. This could bring the value of your property down due to oversupply. Construction usually means growth, which could also be a good thing too!
One tip you want to keep in mind is to consider what the neighborhood surroundings are. Take into consideration that most prospective tenants who have children will want to rent at a home that is located near a school. If you don’t and it’s a priority for your renters, they might choose to rent somewhere else.
Being located in an up and coming area with fun activities do to and lots of potential for growth is very important. People want options and they want to be able to get their necessities fast. Therefore, being closely located from a transit station, bank, grocery store, and other important necessities increases your chances of generating more income.
The number of listings on the market and vacancies
Before you invest in an area, make sure you are aware of the approximate number of houses that are for sale on the market and the percentage of them that are vacant. When buying an investment property, you want to ensure that your property will be rented full-time or as frequently as possible.
If there are many places that are sitting vacant, this might be a bad sign and a red flag that you should investigate why that is. This might be due to a seasonal change or a decline in the neighborhood market.
The potential for natural disasters
One important factor you should always consider is natural disasters that could happen in the area that you are investing in.
Of course, you can purchase insurance for this but if you don’t want the pain or stress of having to worry about a natural disaster, make sure to think twice or be prepared for a potential occurrence.
The crime rate
Most prospective tenants will not be interested in renting at a home that is in the center of a crime path. For this reason, it is important that you investigate the neighborhood and area before you purchase your investment property in Broward County.
Crime can increase and decrease at any time but by doing a little research you should be able to predict whether the area is safe for prospective tenants. Moreover, whether or not this will be a safe community for you and/or children to grow up in.
The education options in the area
Being close to different schools is a big selling point or in this case a big plus for renters. Tenants want to have options especially if they have children of different ages. Being in proximity to a middle school and high school is important for many families.
The more options you can offer your tenants, the better your luck you will have in attracting quality renters who will rent long-term. Always think of the best option for your future renters and what will attract them to your property in Broward County.
The bottom line
If there is one tip you should retain from the aforementioned ones, it would be that when you’re searching for an investment property, do as much research beforehand as possible. This will help you make a well-rounded decision and give you all the information you need. You will feel more confident with your decision and will likely attract more quality tenants to your rental property.