There’s a stereotype that you have to have a lot of money to be able to afford to rent to tenants – you have to be able to pay for anything that breaks at a moment’s notice and you have to be able to pay for any damages your tenants don’t fix. But here’s a little tip: You don’t have to be a millionaire. Here’s how:
Start small: You don’t need to buy a four-bedroom house to rent out. Look for condos or studio apartments if you don’t have the capital to get large houses. In cities anyway, condos and studios are more sought-after anyway! If you can live close to your rental as well, this is an added plus – that way you can spend less money on gas to get to and from the place when issues arise.
Ask more experienced landlords for their resources: They probably have years of advice just sitting in the back of their minds – try to tap into it! You can find these landlords by networking and joining apartment/housing/real estate associations around your area.
Buy to flip: This is a great solution for people wanting to get into the real estate game on the cheap – but only if they’re willing to stick it out and put in some hard work. Renovations can be costly as well, but if you can do most of the work yourself, you can cut back on a large amount of the cost.
Ask around for investments: You’d be surprised by how many people will invest in you if you are driven, responsible, and, most importantly, persistent. Once you start making a profit from your rental(s), you can pay your investors back or promise them a portion of your business.
Don’t be scared off when you hear stories about people spending $56 million dollars to buy places to rent. You do not have to be a millionaire to be a landlord – you just have to be smart, and willing to roll up your sleeves. Many people even turn their starter home into their first rental when they move into a bigger house. CAB Group has paired with many landlords that are just getting started to offer advice and property management when they’re not sure how to handle it. To see what all we can offer to you, check out our services (or give us a call)!