Wednesday, July 7, 2010

Is buying a rental property in an area with other homes for sale a good idea?

The rental property I am looking at is in a nice area, but there are at least three other properties in the same area for sale. Is this a good idea or look in an area with less turnover?Is buying a rental property in an area with other homes for sale a good idea?
As long as you have a good positive cash flow it will be ok. The good thing about a nice area is you can charge more rent and you will get better qualified tenants.





Remember to take into account all of your expenses to determine what to charge for rent and remember always pull their credit.





Don't worry about other houses in the market because the other houses are for sale and a renter more than likely continue to rent because they either cannot buy a house at the moment or they think they can't purchase or they don't have the down payment to purchase a house.





AS long as you have a good positive cash flow and a good area, go for it.





Good LuckIs buying a rental property in an area with other homes for sale a good idea?
I am considering to start investing in foreign property.





Many experts told me to diversify my portfolio but a friend of mine suggested I invest in booming bulgaria, however before I started to invest in bulgaria I wanted to get as much as possible information and latest news. good luck, and if you find my answer helpful, please vote for me!
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