Tips for Buying your first Rental Property

Tip #1 Since buying a Rental Property is a huge investment I suggest looking at a minimum of 50 houses before you buy your first one.  You don't want to buy a house and find out two weeks later that you paid too much.  Your success will come from knowing your target area.  Also, you must know the economics of the area you are buying in.  Who are the major employers of your target area?  And what does the future hold for this area?  Tip #2 Know how much rent you can charge for the home. Check classifieds, web sites, Property Management sites, and apartment complexes.  Drive neighborhoods, and contact Landlords as if you are a tenant looking for a home to rent.  Tip #3 Be prepared with your financing before you purchase.  Will you pay cash or finance the loan?  Typically, banks will require at least 20% down on an investment property.  You can also consider using a Home Equity Line of Credit (HELOC...