Flipping houses is an excellent way to generate either active or passive income, but the fact is that income earned from house flipping is inconsistent at best. Flipping houses is a high-risk investment strategy with huge potential, but investors should be fully aware of what they are investing in. They should know that sometimes they would need to wait for months or years for a profit from a single flip.
To mitigate risk and ensure a more reliable income stream, think about adding a few (or even just one) rental properties to your rental resume. East Rockaway rental properties are stable opportunities with growth that rivals or even surpasses that of stocks or other retirement products. They are a lot better, especially if you’re planning for the future and going for long-term growth.
While the popularity of reality television about house flipping has increased, these reality TV shows have created something of an unrealistic perspective on exactly what flipping houses entails. It isn’t unheard of to be able to purchase, remodel, and re-sell a residential property quickly and profitably in East Rockaway, but it’s not all the time that things go smoothly. There usually are some issues and delays that you’ll have to deal with.
As a case in point, homes that are under construction tend to be targeted by thieves and vandals, resulting in costly financial loss. On top of that, bad weather, burst pipes, or a combination of unforeseen events could result in expensive repairs that were not included in your original budget. This being the case, house flippers need to make preparations and learn to deal with these events that come unannounced.
When it comes to flipping houses, even a best-case scenario flip would need a lot of months of work. The time involved in flipping a house can be extensive. You’ll need to find the property, arrange for its financing, closing, remodeling, and finally have the property listed for sale. While you are doing all of these things, the entire time – however long it may take – the property is not generating any income, since the only profit an investor realizes from a flip comes after the property has sold. Some investors, however, are able to take on multiple house flips in a single year. They have no choice but to do this if they want a substantial and steady income stream. But more often, houses are flipped one at a time, making it difficult to anticipate the waiting time before the investment will eventually pay off.
Because of this, house flippers will greatly benefit from having more than one revenue stream. The real estate industry offers many opportunities but, by far, the one that gives the most consistent income opportunities are residential rental properties. The process of buying and renovating rental homes is comparable to flipping houses, but there are some definite advantages. For example, when acquiring a house to use as a rental, investors can enlist the help of a quality property management company to do the heavy work for them.
When property owners use the services of a company like Real Property Management Innovation, they get expert market assessments on all prospective and current rental properties in East Rockaway, ensuring that investors have accurate information on rental rates, market value, and so on. Real Property Management can also present you with dependable home remodeling and repair experts, ensuring quality in the work done on the property. The team of professionals then markets the property and rents it out to quality tenants so investors get to have consistent rental income while they use their time on more important things.
With a cumulative impact this great, it is unmistakable that employing a property management company is not so much of an added expense as it is a valuable asset on your real estate team. The professionals at RPM Innovation can make rental property ownership one of the easiest real estate investments you’ve ever made. It will unload a lot of things from your schedule so you could use that time to pursue the things you like in the real estate business. To know more about what we can do for you, please contact us online or give us a ring at 516-570-9275.
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