Investment properties have been cited as one of the best assets that an individual can have in their portfolio. When you invest in a good location, you can be assured of stable passive income, an appreciation in value, tax advantages, and also break from economic shocks.
Property, however, is a unique asset class. There is more to be considered in its selection than just the location and an aesthetically pleasing unit. In this article, the team from Reside Rentals, a top-performing property management company in the area breaks down the top tips when investing in Logan, UT property.
Why Consider Logan, UT?
The city of Logan is nestled in the Cache Valley to the north of Salt Lake City. It is situated in Cache County and is highly regarded for its suburban feel, a plethora of outdoor options, and quality public schools.
As a future rental property owner, you should be interested in a neighborhood with considerable population growth and high rental demand. In addition, the renters should have the capacity to pay rent. Logan is such a place.
The Cache Valley town is the home to several high-flying businesses, start-ups, and has a steady stream of university students.
If you are a lover of the outdoors, you will head over heels for Logan. The place has several outdoor recreational options for residents to choose from.
Our future investment should be in a location that is safe and secure. Not only does that secure the longevity of your property but also attracts potential renters. A tenant would be willing to stay long-term in an area where their family and assets are safe and secure.
Tips for Buying Logan, UT Investment Property
From our experience in the Logan property market, here are some tips for buying property in the neighborhood:
1: Research the Local Market
Before you purchase into an area, you will need to perform a thorough research analysis into the market. This is a multi-disciplinary approach that looks into the demographics, economics of the local market, amenities, and the stability of the market.
Read property journals and other publications from reputable local sources. Spend time in the area and evaluate it for yourself. This gives you first-hand experience and you will be able to confirm the information in the publications.
2: Consider Financing Options
If you have some experience in the property industry, you will agree that there are few assets that can compare to the price of property. While you might have money saved aside to purchase, it is not always advisable since you have other financial obligations.
A significant percentage of the population has to rely on some form of financing to acquire investment property. There are several options available.
As you source for the ideal method of financing, look into the mortgage terms, rates, refinancing options, and repayment period plan. Should you have any issues, approach a property professional to help you.
3: Hire Property Management
Management of a rental property can take a toll on a property owner. It is more than just waiting for rent at the end of the month while sipping margaritas at home.
Property management is quite an exhaustive endeavor involving property marketing, compliance with laws, tenant screening, and maintenance among other required services.
Most property owners lack the experience or the technical expertise to thoroughly see to the needs of the property and also those of their tenants. It would be ideal to rely on a professional and seasoned company that can take the burden off your shoulders.
Rely on Reside Rentals. We are the #1 property management company in Logan with a reputation for offering the highest quality of services. What you can rely on us is a customized and comprehensive management solution just for you.
4: Run the Numbers
While rental property is a unique asset, it follows the tenets and precepts of a business. With the right and correct information, you can be able to calculate your potential earnings, return, and other important metrics. This will allow you to make an informed decision regarding your business.
Some of the property information that you will need include rental pricing, appreciation rates, turnover rates, management costs, taxes, and comparable rate of returns. With this, you can be able to compare several properties and make an informed decision.
5: Know Your Obligations
Property, and as a result housing, is a necessity to society. The county and federal governments have set in place regulations and provisions that must be complied with by every landlord and tenant. For you to survive in the business and avoid penalties, you need to be aware of these regulations.
As you set up your rental business, read country ordinances, state Landlord-Tenant rules, and federal laws pertaining to leasing.
You will also need to create a comprehensive lease agreement that complies with the above regulations. Any contravention is considered an illegality and you may find yourself in a court of law.
You should also go to the lengths of informing your tenant of their responsibilities.
Bottom Line
Selection of your investment property requires that you put in significant time in terms of research, time, and resources. And that is just the initial step. There is the management of the property to also consider. How are you to maintain the property and also see to the needs of your tenants?
For the management of your Logan rental property, rely on the full-service property management company, Reside Rentals. We are the leading service provider in the region having several years of experience in the local market. Our clients can testify to our comprehensive services, quality of service, and attention to detail.
Our aim as your property manager is to ensure that your property is thriving and performing at maximum output. Get in touch with us and you can have a lengthy discussion with our reputable managers.