Investing in vacation properties is a popular choice for investors. There are nearly 20 million rental properties in the country. Purchasing a rental property in the Lake Havasu, AZ area is a great way to build your portfolio and bring in passive income.
Figuring out how to purchase the best investment property can be overwhelming, especially for beginners. This blog will discuss our top tips for choosing great vacation rentals in Lake Havasu.
Hire an Experienced Agent
One of the first things you should do is find a real estate agent in Lake Havasu. Working with an accomplished agent will give you an advantage over other investors. Some of the benefits you can experience include:
- Improved contract negotiations
- Assistance with complex contracts
- Find better real estate deals
You want to find an agent that has experience in the type of property you're looking for. Working with someone familiar with various Lake Havasu neighborhoods will ensure you find the right property for your portfolio.
Consider Property Taxes
Property taxes are something you'll need to take into account as part of your expenses. The amount you pay for property taxes depends on the type of rental unit you have and its location.
Some real estate investors decide to pay cash for their properties instead of financing the mortgage payment. While that'll save you money on your monthly fees, you'll need to remember to account for property taxes and insurance.
Don't Fall in Love With Your Unit
Many beginner investors fall in love with their rental properties. You want to purchase a property that'll appeal to renters and keep your passive income flowing.
You don't want to forget that you're purchasing properties to make a rental income and have a profitable business. Falling in love with a certain property means you might make a deal happen when the residence may not be worth the effort. If you want to fall in love, make sure you choose a property that has low maintenance fees and high cash flow potential.
Avoid a Fixer-Upper
Fixer-uppers have the potential to be a great choice for investment properties. They can offer significant returns for investors who are willing and able to put in the work. However, you'll want to avoid purchasing one of these if it's your first purchase as a real estate investor.
Fixer-upper properties can be complex and challenging. You may want to consider purchasing one once you have a few properties under your belt. Develop relationships with local tradespeople and contractors before you purchase a property that needs work.
Get Help Managing Your Investment Property in Lake Havasu
Purchasing an investment property is a wonderful way to build your real estate portfolio. Explore the Lake Havasu housing market to see if this thriving area is the right place to invest in your goals. Working with an experienced property management company can help alleviate your daily to-dos.
PMI Lake Havasu has been working with real estate investors for over 20 years. Our personalized strategies make it easy for you to sit back and relax while we manage your properties. Contact us to schedule a consultation with one of our specialists.
