All Forum Posts by: Emily Du Plessis

On the same topic of party ordinances, by Colleen, be sure to check out other local ordinances in the town or boro you are investing in and be sure to include them in your lease.  For example, the area we are investing in with student rentals has ordinances with the types of furniture that can be used outside.  Common sense to adults, but not so much to students. 

Those are all good options, but I think it really comes down to the type of property you are going to invest in. One type of property may lend itself to a certain type of financing (multi unit- rehab- 203k) where a SFH may lend itself to conventional or Homepath. Choose the type of property (not necessarily the actual property-you can waste a lot of time searching for a specific property then find out you don't qualify, but the type of property you are looking for) then decide what type of financing will best suit.

I definitely recommend getting pre-approved before you do serious property searching though.  The worst thing is to spend a ton of time looking, then finding a property just to learn that you don't qualify for it. :)

Happy investing!

I agree with many of those who commented.  Thoroughly screening your tenants is so important...when they fill out the application call the employers, call the credit and personal references, do a criminal background check, check their credit.  All of these things will help to avoid tenants that will make your life horrible.  I don't think there is a 100% way to avoid these things happening, but being diligent in your process can help tremendously! 

Happy investing!

It really depends on your area and rental market.  There are plenty of good things about renting out condos (i.e. no outdoor maintenance) but there are plenty of cons as well (i.e. dealing with condo associations). My first rental was a condo and it has been a great investment.  Compare sale prices of condos, single family, and duplexes and then take a look at the average rents for those types of homes-this can give you an idea of your return on your investment. The return is going to be what tells you what will be good type of property to invest in.

Happy investing!

I know that at my university they were normally fall/spring leases and owners charged a little more to cover the summer months.  Some owners also rented out the property to students taking summer classes too.  

Hi Jennifer,

If you're just starting out I agree with James, getting into a partnership may be a good option.  My husband and I invest in buy and hold properties so we are landlords and I have to say the cash flow that we earn  far surpasses the amount of work we have put in.  I think if you are diligent about getting good deals and good properties and properly screening your tenants, it can be a great way to invest! But you must take the time up front to do it right to avoid the headaches later!

Emily

Hi Tanya,

Glad to hear you are wanting to invest in real estate! I'm also live in NOVA and invest in rental property.  Have you thought about looking out in the Winchester area? I see that you are from Reston and I know, living in Leesburg, that prices are high.  My husband and I have bought a couple of properties there and the numbers work really well!

Best,

Emily

Learning as much as you can about the area you are planning to invest in is critical, paying special attention to industry that draws and keeps people in that area.

I think about it like I'm qualifying them for a loan. I take their total income minus their debt (which I see on their credit report) which gives me their debt to income ratio. Once you have that number, the rent shouldn't be more than 45% of that number. This is how lenders look at individuals for qualifying for a loan and I implement that when looking at possible tenants.

Just another way to analyze the numbers! Everyone has their way that makes sense to them.

Hi Alex,

My husband and I also invest in buy and hold cash flowing properties in the Northern VA area. Congrats on your first deal!

Emily