People who are interested in building their wealth have found that Washington DC offers investors an abundance of real estate investment opportunities to build their portfolio. It’s the one place in the country where everyone wants to be. Even President Obama has reportedly secured a nine-bedroom rental home in one of the wealthiest zip codes in the Metro area to call “home” when his Presidential term ends.
One of the most important aspects to consider when evaluating real estate investments is to have a strategy for the property you’re considering.
Distressed and Rehab Properties
Rehab and distressed properties are favorable investments for anyone who wants to pay an overall lower purchase price on the acquisition of a property but are willing to make – or pay for – repairs and renovations the asset needs to have completed making it more marketable and allowing owners to ask for a higher sales price. By taking the time and care to upgrade the home, especially in the cases where the home has been neglected or fallen into some degree of disrepair, adding value and saving the potential new buyers money and time making these needed repairs themselves. For the most part, rehab and distressed properties are the best real estate investment type for individuals who want to earn a profit relatively quickly on their original backing of the project.
Income Bearing Properties
While earning a tidy profit on the sale of a rehab or distressed home is always exciting, there is a lot to be said about making a steady stream of income from rented and leased residential homes, multi-unit residences, and commercial properties. Effective Property Management Services remove the barrier to entry, even if you aren’t comfortable with the title or job description of “landlord.” By working with a company with years of experience in all aspects of property management, real estate investors in income bearing properties don’t have to worry about all of the details such as making improvements, screening potential tenants, lawn care, and property maintenance. The advantages of putting a stake in this real estate investment are that you get regularly compensated based on rental receipts from the properties that are under management without all the direct responsibilities landlords have.
Diversify Your Portfolio
Depending on your adversity to risk, you may decide to expand your portfolio with both Income Bearing Properties and rehab properties. By doing so, you the opportunity to earn on short-term holdings and long-term assets that make income and profits!
Call the professionals at Millennium Strategic Investments at (800) 674-5363 to speak with a Metro DC real estate investment specialist today!