There’s no denying that a rental property could be one of the best investments you ever make. Having something that constantly feeds you money every month is a wonderful way to earn a passive income.
Nevertheless, it’s all about finding the right location for your rental property investment. Buying a house in a terrible place seems like a good idea because it’s affordable. Unfortunately, you can barely attract tenants and the rent is really low. Instead, you want to invest in an area that’s thriving with people and constantly has a high demand for rental properties. As a result, you’ll always have tenants occupying your property, and the rental rates will be extremely high.
So, what is the best location? Here are a few factors to consider:
Somewhere with lots of job offerings
If a location offers loads of jobs, it will be very popular. This means thousands of people will try to live there because they know there are so many job opportunities. It’s not rocket science and the CEO of a property development company – Paul Ognibene – states that he actively looks for areas close to employment hubs when developing properties. If you own property that’s within walking distance or a short drive to a busy business district, you’re going to rake in a lot of money every month.
Somewhere that’s close to schools
Don’t just think about things from a work perspective; consider who else might want to rent a property. That’s right, a family! Families often struggle to buy houses right away because they’re so expensive. Instead, they may look to rent a house or an apartment. As such, if yours is close to the local schools, it’s the prime location for a family. You can command a good rental price, which they’ll willingly pay as it makes their life easier. Instead of paying for a school bus or getting up early to drive 30 minutes to school each morning, they can just walk their kids to school.
Somewhere with lots of good public transport options
Not everyone drives, meaning public transport is essential for their daily lives. If you lived somewhere that didn’t have access to good public transport options, how would you feel? You’d be aggrieved and it would make every single day harder. In fact, you probably wouldn’t bother living there because of how challenging it is. Instead, you’d actively seek somewhere with good public transport links nearby. If your rental property is located close to train stations, subways, or buses, it will be very valuable. Again, this lets you increase the rental price and make more money.
Owning a rental property in a great location is the key to maximizing your earnings. You want to achieve two things:
- An investment that’s never unoccupied
- An investment that earns lots of money every month
If you can find properties that are close to job opportunities, close to schools, and with access to great transport links, you will be laughing all the way to the bank.