Tips For Buying Portland Oregon Investment Properties In 2020
Are you planning on buying Portland Oregon investment properties in 2020? If so, you’ve come to the right place! In this article we will offer you several tips you can use for successfully buying investment properties in Portland Oregon.
Tip #1 – Decide on Which Neighborhood You Want to Buy an Investment Property
One of the great things about Portland is that there are so many great neighborhoods to chose from. There’s Downtown, Old Town, Belmont, Hawthorne and the Division area. Each neighborhood obviously has its own attractions and benefits.
Some things that most renters are looking in a rental property include:
- It must be in a walkable area
- Close to stores and shops
- The neighborhood should have cool attractions and things to do
- There must be easy access to public transportation
By looking searching for these four key things in an area you should be able to find a great investment property that would be a perfect fit for your investment portfolio.
Tip #2 – Don’t Buy A Fixer-Upper Unless You’re “Handy”
Even though fixer-uppers often appear to be glamorous on television, they always come with a lot of work and if you don’t know how to fix up a property, you can expect trouble. This is why it’s always best to avoid investing in a fixer-upper because buying a property that’s move in ready will enable you to start renting out that property immediately.
Tip #3 – Determine Risk vs. Reward
You may find an affordable home or multifamily property but if it’s located in a part of town that’s a little “scary”, the reality is that the risks of that property may outweigh rewards of owning it.
Always take risk vs, reward into consideration when investing in a new Portland property because this approach can literally save you thousands of dollars and the pain of making a bad investment.
Tip #4 – Calculate Your Operating Expenses BEFORE Buying A Property
It’s easy to buy investment properties when everything looks great but the reality is that the operating expenses are what tell the real story about the property. This is why you should always calculate what your operating expenses are going to be for a property before you purchase it.
Tip #5 – Avoid High Interest Rate Loans
You may be thinking that you can easily buy a rental property in Portland with an adjustable rate mortgage and then flip that property after six months or one year but the reality is that even though interest rates are low today, they may not be low in 3-6 months from now.
Thousands of investors lost money during the “Great Recession” because they bought properties with adjustable rate mortgages and were unprepared for those rates to increase.
To about the mistake of investing in an unaffordable property it’s best to choose a fixed rate mortgage loan with a rate that you can afford because you want a mortgage that’s not going to eat into your monthly profits too significantly.
Tip #6 – Hire A Property Management Company
Property Management is without a doubt the key to success with owning investment properties in 2020 and beyond because a manager will save you the time, money and hassle of managing an investment property yourself.
What Can a Portland Oregon Property Manager Do for You?
Yes, it’s true, a property manager will make your life a lot easier because they will take the management of your rental property off your shoulders, free up your time and help you to get your life back.
Here are some of the duties that a PDX property management company will do for you:
Property Marketing – When it comes time to market your property online, your property management company will list it on all of the top websites. From rent.com, Zillow.com, Craigslist.org to Facebook, your property will be marketed online guaranteeing that it receives interest from the most tenants possible.
Tenant Selection – Not all tenants are going to be great tenants! The good news is that when it comes to tenant selection and placement you can count on your property management company in Portland to choose the best tenants to live in your property.
Maintenance – From changing toilets, leaky faucets or repairing the roof, you can count on your management company to handle all rental property maintenance so that you won’t have to deal with any of the actual work that comes from managing a rental property again.
Rent Collection – Dealing with tenants who don’t pay on time will become a thing of the past when you hire a Portland Oregon Property Management company. Your manager will collect the rent on time each month and deposit it into your account so that every aspect of owning rentals will be a passive experience for you.
Contact Rent Portland Homes Professionals
To learn more about the property management services we can offer you contact us today by calling (503) 447-7735 or click here to connect with us online.