There is more to buying a rental property than just finding one in your price range and obtaining the appropriate financing. You want to be sure you’re buying a home that will provide you with a good return on your investment. There are several factors you need to consider when acquiring rental properties in Chicago, as outlined below.
Neighborhood
The neighborhood in which you choose to invest in rental property impacts the kinds of renters who will be drawn to your home. If you purchase in a residential location with transit or interstate access, you may be able to attract a commuting businessperson. If your rental is near parks and schools, you may be able to attract a family. If you purchase near a college, you may obtain students who only rent during the school year.
Condition
When acquiring a rental house, certain property issues need to be anticipated initially. Superficial damage is simple to repair, and minor repairs and improvements aren’t too difficult. However, significant foundation difficulties, extensive water damage, deadly molds, or structurally unsafe or unfinished houses are all reasons to walk out of a purchase unless you’re a flipper. When searching for a buy-and-hold investment, it is advisable to avoid doing a major makeover.
Future Development
The local planning department will have information on existing projects or those planned for the region. If there is a lot of building going on, it is most likely an excellent growth region. Keep an eye out for new projects that may lower the value of nearby houses. New construction may potentially compete with your property.
Landmark Property Management is a firm serving the Chicago metropolitan region. Contact Landmark Property Management to get started on finding the right rental properties in Chicago that meet your needs.