Does Anyone in Here Have Condo Rentals in Germantown, Maryland???

Question

How has your experience be? Was it easy to rent them out?

Russell Brazil · Answer

Montgomery and PG County you need rental licenses. Frederick you do not. The others I don't know as I have not owned in the other counties. Typically you can find the information on the county landlord/tenant website which each County has.

I do not use llcs. Better lending terms is more important to me than asset protection, as well as the fact as I am not organized enough to maintain a non-piercable llc. I often will pay for things for my properties out of my personal account accidentally which would make an llc moot. I only use Fannie/Freddie loans which are not available to llcs.

Russell Brazil · Answer

Anything in the state built before 1978 requires a lead inspection

Frederick County does not require a rental license.

Aaron Grant · Answer

@Russell Brazil Do you know if you need lead testing done before leasing out a townhouse in Frederick? What's the procedures like to obtain a leasing license?

Russell Brazil · Answer

Frederick is a descent market. I own 2 condos in Frederick. Townhouses and single families are also descent investment in Frederick. You can get properties in Frederick for right around the 1% rule.

If you want the favorable lending terms of a Fannie/Freddie loan, you are going to need to put 20-25% down. If you want to put less down, you would likely need to find a private lender, or perhaps try some owner financed deals.

Aaron Grant · Answer

@Russell Brazil What's your thought on the Frederick, MD market for investors. Say buy a townhouse for sub-$175K and lease it out?

Are you aware of less-than-20% financing available for investors in the area?

Russell Brazil · Answer

I have a condo in Germantown, no complaints

Matt Vaughn · Answer

When buying a condo, you fall under the jurisdiction of the condo association. First, you will have to pay their dues each month, so know what those are. But realize that those dues can change from time to time at the discretion of the condo association. The condo association can decide to have high fees, which theoretically would be spent on improvements or amenities. They could also choose to keep low fees, which would make them less able to spend money on improvements that could be needed.

Long story short, there's a group of people that have the ability to affect your cash flow and your property value and you don't have direct control over them. For this reason, some people do not invest in condos.

Does Anyone in Here Have Condo Rentals in Germantown, Maryland???

Does Anyone in Here Have Condo Rentals in Germantown, Maryland???

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