Rental properties can be very helpful especially if you are not ready to buy your own property or you don’t just have the money to buy one. But one should be very watchful and careful when searching for a rental property. There are some features of rental properties that may not be appreciated by most people. In this article, we have prepared some top warning signs that will catch your eye when considering buying a rental property.
#1. Long term vacancy
Normally when a house stands for a while without being occupied, its value deteriorates or even gets vandalized by animals and in most cases, people. Investors that go in for such properties make the big mistakes of underestimating the repair cost of the house and end up losing out on the deal. To keep such from occurring, think twice before getting a property that has been redundant for a while.
#2. Stuck on the market
Some people might say a property has bad luck because it has been on sale for a long time and no one seems to be interested in buying it. Although there can be different reasons why certain houses just don’t sell easily like other houses, the fact is that buyers tend to get suspicious of houses that are stuck on the market. ‘Why’ questions pop up every time. Is it too expensive to repair? Does it have construction problems? No one wants to go through answering series of repeated questions and we bet you don’t want to be a victim of that.
#3. The price is too good
When you see a house that the price is too good to be true, it probably is. This can pop up as a red flag. Most times, house prices move along with the usual market price but if a property is being sold or rented for such a good price that is out of the ordinary, you should ask yourself what is the landlord or owner up to.
#4. Iffy neighborhood
There are certain neighborhoods that can be very deceiving by just looking at them. They can be so beautiful but there is no development or growth taking place and most of the people in it are moving out. On the other hand, some neighborhoods can look so shabby but unknowing to you, people are actually moving in and making repairs on their properties. Such neighborhoods have poor investment opportunities.
#5. Data dearth property
As a buyer or a person trying to find a rental property, you should be able to find more information about the property such as maintenance costs, rates, and other info to evaluate the deal. If there is little or no information about a particular property then try your best to avoid such houses because they tend to have lots of future problems.
Finding a rental property can be energy consuming because you have to watch out for red flags and determine which property will be the best for you. You also want to find out if you can pay the rent on time and live peacefully with the neighbors. To achieve this, be wise about your choice of rental property.