Buying investment properties
Buying investment properties and becoming a landlord is a tricky business. It is hard business and not suited for everybody. Good tenants are few and far between. Tenants sometimes stay for short periods and sometimes pay late or don’t pay at all. But if you want to jump into the rental business you should check out your responsibilities as a landlord first. The court system does not look kindly on landlords that don’t live up to their responsibilities and the rental contract.
Getting financing or a mortgage for Metro Detroit investment properties is possible even in this economy. The banks are requiring bigger down-payments for investment properties than 6 months or 1 year ago. Before you jump in think hard and long though. One of the items you have to remember is that taxes are higher for investment properties than for single family homes. I believe you should be able to pay the payment on your rental if you had to for up to a year. In other words have a good reserve fund for repairs and mortgage payments.
The best part of this whole economy is that there are tremendous deals out there. You can find investment properties and rental homes that you will get positive cash flow even with the higher tax bill. For more on investment properties go to my website www.russravary.com or www.DetroitMichiganRealEstateHomes.com to search for Michigan homes for sale. Have a great day Russ Ravary
