HOUSTON – Your friends, family members and co-workers have all been suggesting that you invest in Houston Texas Income property because it’s a great way to build wealth especially in this day and age where there’s a HUGE demand for rental properties in Houston and across the United States.
Although you’re excited about the prospect of investing in Houston Texas Income Property there’s a problem, you don’t know what to expect with being a property owner.
In this post we will share with you 7 things to know before owning Houston Texas Income Property.
Tip #1 – Think About The Marketability Of The Rental Property
Before buying Houston Texas Income Property you should first think about the marketability of the rental property because even though the rental you’re interested is on sale for a great price, if that property is not in a prime location then it’s not going to be in demand.
Here are some questions to ask when buying a rental property:
- Is it located near the highway?
- Are there stores, shops and restaurants nearby?
- How far is the rental from community colleges or major universities?
- Is the location of the rental in a walkable neighborhood so that a renter can get to and from anywhere on foot if needed?
- How many recreational amenities or attractions are nearby?
Tip #2 – Make Sure The Rental Property Is Ready To Be Rented
Now that you’ve found a great rental property in Houston the next step is to make sure that it’s actually ready to be rented and won’t require thousands of dollars in maintenance or repairs before you can start advertising it.
Tip #3 – Be Ready For Paying Higher Property Taxes
When buying Houston Texas Rental Property it’s important to remember that you may be required to pay a much higher property tax bill that what you are currently paying right now because you may be benefiting from an exemption on your primary residence and could be in for a shock when you realize that the property tax cap in your rental property could be at least one percentage point higher than what you’re accoustomed to paying right now.
Before buying a rental property in Houston it’s best to consult with an accountant to verify the property tax rate you could expect to pay so you can budget for paying that tax bill and determine the rent you will have to charge so you can turn a profit.
Tip #4 – Yes, There Are Some Bad Tenants Out There
One of the biggest things you have to be ready for when buying Houston Texas Income Property is that there’s going to be a few “bad tenants” that you will encounter but the good news is that by hiring an experienced Houston Texas Property management company like Vestpro Residential Services can save you a lot of time and money of advertising, screening and choosing the most well qualified tenants for your rental properties.
With great property management on your side you can enjoy the benefits of owning rental property while ultimately deciding to grow your portfolio of income properties as you move forward.
Tip #5 – Excellent Tenants Are Literally Worth Their Weight In Gold
Over the years that you own rental property in Houston you’re going to have at least one tenant who will take such great care of your property that you will hate to see them go.
In this situation it’s best to consider offering that tenant incentives to stay like not increasing their rent next year or waving any pet deposit fees so they can have a dog or cat in the rental property.
Tip #6 – Repairs Will Come And It’s Best To Be Ready For Them Now
Another important thing to remember when owning Houston Texas Income Property is that repairs will come and when they do you’re going to be often shocked with the amount you will be required to spend to make those repairs so it’s best to start budgeting for them now so that when the time does come to make repairs on your rental property you will be ready.
Tip #7 – Don’t Be Afraid To Set Rules And Then Stick With Them
Last of all, but most important, don’t be afraid to set rules and then stick with them because you’re going to find that some tenants will not respect you or your rental property unless you lay out the rules and then let that tenant know what the penalties are for breaking them.
For example: some property owners in Houston may be okay with their tenants paying the rent “when they can” and even give their tenants a 10 day window until their rent is actually due. This is always a bad idea because most tenants won’t hesitate to pay their rent by the tenth day of the month, every month, so you should always be strict when it comes to when you want to be paid rent and let tenants know that they will have to pay a late fee if they fail to pay on time.
Get Property Management For Your Houston Texas Income Property
To get property management for your Houston Texas Income Property contact Vestpro Residential Services today by calling us at (832) 498-0016 or CLICK HERE to connect with us online.