Tips to Help When You Invest in Property in Chicago
Are you looking to buy an investment property in the Chicago real estate market? Many people who are in the position to buy another property will often buy an investment property that they can then rent to make some extra money. With the prices and the rates as low as they are right now, it is a great time to consider investment property if you have the money available. However, buying and running an investment property does have some challenges.
Use a Great Realtor
Of course, the number one rule whenever anyone is making any type of property purchase is going to be to get a good realtor. The realtor is going to let you know about the properties in your budget, the popularity of the neighborhood, and the features that help to make the property special. When you are buying a home or condo that you plan to rent, it is usually a good idea to buy in a popular or up and coming neighborhood. This will meant that you are usually going to be able to get a higher amount of rent.
Learn about the Area
If you do not live in the area of Chicago where you are buying, then you might not know what the neighborhood is like. Spend some time there, check out the schools, shopping, public transportation.
The Right Rental Price
When you buy your property and you are going to rent it out, you have to make sure that you price it right. If you price too high, there is a chance that you are going to have a home that sits vacant. If that were to happen, you are going to lose money on the property. It is a good idea to look to see what some of the other homes in the area charge for rent and consider that along with what you are paying for your mortgage. Being greedy is likely to backfire so do not overcharge.
If you are buying an investment property, then you will have to make sure that you have someone who will be able to take care of the maintenance for the property. You may be able to do it on your own, but hiring someone could make more sense in many cases. You will not likely need to have someone working fulltime. Mostly, it will be for things such as property maintenance, such as landscaping.
Buying an investment property that you are going to use for a rental is a big decision. Having a good realtor and following some common sense tips will make the process much easier for you. Take the time to start looking at some of the many great properties that are available. You are sure to find plenty of great opportunities in today’s market.
Christine Hancock, Broker Associate with Prudential Rubloff specializing in downtown Chicago Real Estate including The Gold Coast, South Loop, West Loop, Streeterville & Lincoln Park for over 10 years. Call/Email Me today at 312-296-9300, or visit my website at DowntownChicagoRealEstate.com