Buying a property is a significant milestone in most people's lives.
However, for a property investor, buying real estate is another milestone-the marker for starting your new real estate career. The next step you take determines the direction and the endpoint.
Will you make the right choices? We have a guide here to help you. Read on to learn what every real estate investor should do next after buying their first property in Austin, TX.
Maximize Your Rental Income
After buying your rental property, you want to ensure it will bring you a generous monthly return. To do that, you'll need a carefully thought-out rental strategy.
Start with some marketing best practices.
Research your target market and pay close attention to what they want. Use that to create an enticing property listing. That might mean investing in property upgrades, like revamping the kitchen and bathroom.
When advertising your property, use professional photography and virtual tours. This will boost viewings from potential tenants.
Pitch Your Property at the Right Price
Rental pricing can be tricky at first. If your price is too high, you risk holding onto an empty property for months. But if your price is too low, you could say goodbye to lots of potential income.
The best way around this is to do your research. Look at rental market trends for the area and price changes over the past twelve months. Examine other properties on the market, their condition, and how fast they secure a tenant.
All this will help you set a competitive price for your rental that also helps maximize your profits.
Think About Tenant Screening
Don't accept anyone into your property. A bad tenant can be worse than no tenant, leaving you with the stress and inconvenience of evictions and potential legal routes.
Always use tenant screening to check someone's background before they move in.
That should include a check on employment status, income, credit rating, and criminal checks. It's also worth following up on references from previous landlords.
Plan Your Property Maintenance
Your new property will need regular upkeep. Keeping it in excellent condition reduces long-term costs because it helps you spot minor problems before they become major ones.
A well-maintained property will also encourage a reliable tenant to renew their lease.
Remember to factor in your maintenance costs when looking at the income you expect from your property.
Financial Management and Reinvesting Profits
Always keep a budget for your rental. Look at your ongoing costs and monitor the rental rates to ensure you maximize your income.
If you are making a healthy profit from your rental, think about planning your next investment. When you are ready to make that move, use what you've learned about your first investment to shape your purchasing decision.
Making a Career as a Real Estate Investor
Buying a property is step one in your career as a real estate investor. The work you do after that to maximize your income and expand your property empire will help you thrive.
Austin Property Management has a professional and highly experienced real estate team that can support every aspect of your business - even the trickier things like financials.
Start now by browsing our resources for property owners in Austin, TX.
