Even when you own multiple properties and continue growing a significant real estate portfolio, sometimes it's helpful to go back to the basics. The things that helped you find early success are the same basics that investors should apply to every Detroit turnkey investment—no matter how many properties you own.
- While technology can change how we do things, maintaining tremendous cash flow still relies on following real estate investor basics when buying new properties and managing existing rentals for long-term success.
- Investors don't often 'reinvent the wheel' in rental real estate, so it's important to revisit the basics and incorporate them to generate further success.
As a Detroit property manager and full-service real estate investment specialist, we know what it takes to build momentum in real estate! Keep reading to learn (or refresh your memory) with these critical real estate investing basics.
Choose the 'Best' Properties
Every new investment opportunity must start with the right property. No matter how many properties you have, investors must remember (and practice) the key elements of finding investment properties with the best potential for significant income.
- With large portfolios, diversifying with different types of Detroit investment opportunities helps protect your investment income.
- Even when you have big growth goals, choosing a questionable property could delay your income growth—or turn into a setback that delays your long-term wealth goals.
Selecting an excellent property to start with makes every investment purchase a good experience!
Whether you prefer Detroit turnkey investments, buy-and-hold rentals, fix-and-flip investments, or a mix of these properties, make sure:
- It's not a money pit waiting to happen
- The cost of renovations won't exceed your potential to generate a profit
- The ROI makes good financial sense
- Renters will love your rental-ready property in an excellent Detroit location.
Location is one of the most critical factors to consider when choosing any investment property. A wonderfully-renovated rental property or fix-and-flip home won't attract the right renters or buyers if it's location isn't desirable.
Put Personal Preferences Aside
You're not going to live in any of your investment properties. When choosing properties and making smart renovation choices, investors must put personal preferences aside and focus on what renters or Detroit homebuyers want.
- Getting expert input can help you make the right decisions when getting a property rental-ready or working through a fix-and-flip rehab project.
- A Detroit property manager that offers full-service real estate services has the right pulse on the local investment property market.
- We know what renters look for (and will pay for) when considering renovations. We also know what sells well after renovating homes for resale.
Homebuyers Are Different Than Renters
You might think all renovations are the same and will appeal to anyone who needs a place to live in Detroit. However, what renters want can be different from what new home buyers want when rehabbing investment properties for different audiences.
- Renters might not be willing to pay for high-end countertops or flooring, but homeowners could want those amenities in their dream home when searching through 'for sale' ads.
- That's why the insight of a full-service real estate investment company can be a considerable asset to investors who want a broad, diversified portfolio of Detroit investment opportunities.
- We can help you apply the right renovations to a buy-and-hold rental versus choosing the best rehabbing decisions for a property you intend to sell for a profit.
The right choices help investors manage renovation budgets and maximize profits!
Never Skip Screening
When your portfolio includes buy-and-hold rentals, renter management basics are critical for every property. Never skip a thorough tenant screening process—even if you have multiple vacancies and need new residents quickly.
- One bad renter can be an expensive mistake that your other income-generating properties pay for to resolve the situation. Every renter matters, no matter how many Detroit area properties you maintain as rentals.
- If you're overwhelmed with the volume of renters you need, or you're dealing with too many money-draining vacancies, hire a best-in-class Detroit property manager to handle screening and leasing services for you.
Provide Professional Rental Property Maintenance Services
Renters leave when the quality of your rental properties decline. To prolong success with buy-and-hold rentals, investors must prioritize routine maintenance and deliver professional-quality services.
A local Detroit property manager can handle everything for you! At Own It Detroit, we tackle regular property inspections, rental property maintenance, all repairs, and renter requests (24/7).
Stick to the Basics for Long-Term Success!
The basics can seem mundane—but they work. Seasoned real estate investors must stick to the basics when growing a portfolio and planning long-term financial success.
- Choosing the best full-service real estate investment team helps your properties remain successful by applying what works—and solving what doesn't.
- The Own It Detroit team can handle every aspect of your real estate success, from choosing the best properties, recommending the best renovations, and handling every detail of property management.
Learn more about the advantages of real estate investing with an expert on your side! Download your free copy of our guide to real estate investment in Detroit.