3 Reasons Your Property Is Worth Renting
Have you ever wondered why people get into rental properties?
Terms like passive income and seller’s market seem vague and you really don’t understand why they’re important. It seems like everyone wants to get into real estate, but doesn’t understand why it’s such a good investment. People also think they need a lot of money to start. Many don’t believe in the “no money down” advertisements they come across. Well, I will explain these basic concepts and more while giving you three reasons why you should get into the rental property business.
Having extra space in your home, passive cash flow or holding a property during a buyer’s market are three great reasons to invest into a rental property. This gives you the opportunity to turn your liability into an asset.
One quick way to get your feet wet in the rental property business is by simply putting your spare room in your house up for rent. This could actually be a “no money down” scenario. All you need to do is take a few pictures of the space and list it on different websites. Websites such as, Hotpads.com or Zillow are free and a great place to begin. These sites are simple and have a user friendly interface that makes it quick to get you started.
I started on Airbnb, which cost me nothing. The room was already furnished. The benefits of renting out your spare room is that tenants are more likely to respect your home. Also, you can impose rules that make it comfortable for you and the tenant. But one of the best reasons for renting out your extra room is that you create passive income.
What is passive income? A passive income can be deemed money earned through a minute effort during your down time. The key is that you are not trading your time for money like an hourly salary. The beauty of this is that you can use your time doing other things while still earning money. Some people choose to have a full time career or travel while still having an additional income. Rental property is a great way to be able to live your life and spend time doing what you love while still making money passively. It’s a practical way to financial independence. This basically means not having to work a job by trading your time for money. Instead of working two jobs, you can rent out that spare room. This instantly turns your housing from a liability to an asset.
Another way to turn your property into an asset is by renting out your entire property traditionally. A good reason to rent out traditionally is if you plan on moving out of the home you own, but it’s a buyers market. What this means is it is not a good time to sell your property. There are plenty of housing inventory on the market and prices are low. You will not get the max potential selling price for your property during this time. A good option for you at this point is to traditionally rent your property. You can do this until the market is in your favor. A seller’s market where housing inventory is low. In this case, you are able to move and still get top dollar for you property once it’s a seller’s market.
Now that you have the basic understanding on why you should rent out your property, are you curious about what’s next? Well this is where Metromax Group can help you get started. You can reach out to us at our website at www.metromaxgroupllc.com . We can assist you on the entire rental property investment process and make it entirely passive for you.