Rental Property Investor · Roanoke Va · Member since 2019 · 16 posts · 3 votes
This may sound like a silly question but bear with me as I am a new investor who is saving for his first rental property (targeted 2021).
If my area has a high rental rate vs buy rate how does that impact me as somebody looking to be a landlord and own rental property? At first glance it seems like a positive thing since my houses would be easier to rent but I want to make sure there isn’t something I’m missing. Also, this would negatively impact my selling of the house later correct? Price/ value? Looking to rent a home in the 100k-120k range. Any help or guidance would be great!
I dont know much about Charlottesville, other than people generally saying its expensive. Its a growing area which is putting tremendous pressure on selling prices.
@Matt Rose Good job at starting to save now! I don't think it's a silly question, obviously, in a high rent area there would be more people wanting to rent from you, but then that means there is also more of a competition for you in the market. Positioning yourself as professionally and friendly as possible when you start showing your properties to tenants will set you a part from the other landlords. Also, regarding selling your property, it is hard to say right now because the market can change and probably will by the time 2021 comes around. However, I wouldn't let that concern stop you from still investing in your first property!
I invest in areas that have over 40% renters . I have found this is a good thing . To put it another way : I ran an ad on Sunday after church on Facebook ..by Monday morning I had 33 applicants who messaged me to see the property .
It was mentioned above but yes, easier to rent a property, but harder to sell if you ever decide to go that route in the future.
I really like Roanoke from a desirability standpoint personally, and have spent some considerable time there and nearby. The city is growing again at a small pace according to recent population numbers, which is a good sign for long term investment. Virginia Tech is bringing money into the city with the Carilion expansion, although it seems to mostly affect specific areas downtown. I'd say the biggest issue I see is the supply of cheap homes and cheap rentals really keeps prices down in certain areas, both selling prices and rental rates. Hard to get the numbers I like to see,
I dont know much about Charlottesville, other than people generally saying its expensive. Its a growing area which is putting tremendous pressure on selling prices.