If you’ve ever thought about buying an investment property, you’re not alone. Real estate can be a great way to diversify your existing investment portfolio – if you know what you’re doing.
The two most common investments people consider are buying a property and renting it out, or purchasing a property that needs work, renovating it and then flipping it back onto the market for resale. Both approaches offer benefits and potential drawbacks. Ownership of a rental property can create an income stream, and offer a long-term return on your investment. But it also makes you a landlord responsible for maintenance and tenant issues. The fix-and-flip approach has the potential to give you a bigger bang for your buck in short-term financial gain – but you may also encounter unexpected renovation costs, while shouldering the expense of a mortgage and taxes during the renovation time span. A smart way to get started is to do your homework. These articles from NerdWallet and ZacksFinance can help.
If you decide to move ahead, talk to Vanguard Realty Associates. We’ll help you find a property that meets your goals, and do our best to support you in your new venture!