Real estate investors typically become investors in one of two ways:
- Either they intentionally become a landlord,
- Or they find themselves accidentally becoming a landlord.
No matter how you got into investing: if you found this blog, you've started to do some research about growing your Orlando real estate portfolio. We hope we can help answer some of your questions about investing.
Owning Orlando investment properties is a reliable way to build long term financial independence. Once you have one successful property, you can start to consider growing your Orlando real estate portfolio with more real estate.
What Comes Next?
Owning a single investment property can be a lot of work or a little—depending on how responsible and self-reliant your tenants are. If your tenants always pay their rent on time, maintain the property, and take care of little things around the home, you may have little to do or worry about. Adding another property to your portfolio is the next step.
How Do You Grow Your Investment Portfolio?
If life as a landlord has been a breeze, you might be considering growing your Orlando real estate portfolio. Here at Verandah Properties, we think this is a fantastic idea! We have many clients on their way to financial freedom through investing.
What You Need to Know to Grow
Adding properties to your portfolio grows your workload exponentially. You generally rent a property to one or a few people, maybe a family. As you add properties, you continue to add multiple residents per property, all of whom are on the lease. It is merely a numbers game—the more residents you have, the more likely you are going to have a growing to-do list.
Plus, with more tenants comes a lot more communication:
- More questions, more paperwork
- A greater influx of work orders that need to be handled
- More tenants to communicate with about inspections or rent.
If you are just starting as a landlord, you probably have a full-time career you are dedicated to—and this increasing workload will quickly require some extra help!
If you are only up to your second or third property, it doesn't make sense for you to hire a solo administrator or a maintenance worker—and using third-party providers for one-off requests can be expensive. When you hire an Orlando property management company, you are getting the benefit of a fully experienced staff working at a set rate.
You'll also benefit from the amenities offered by your Orlando property management company that do-it-yourself landlords lack access to—perks like landlord protection insurance. You also won't have to make rent collection calls, or buy an accounting package and spend your weekends getting caught up on bookkeeping.
Beyond the additional labor concerns that come with more properties, you'll want to think about:
- Establishing a legal entity: Protect yourself and your assets! Many landlords choose LLC's, but we strongly suggest hiring an attorney for your individual situation.
- Choosing the type of property you want to invest in: Single-family homes, condos, townhouses, and duplexes offer different benefits. Talk with your Orlando property manager about which type of property will help you meet your goals.
- Choosing the neighborhoods you want to invest in: As with property types, different communities have different benefits. Orlando suburbs with excellent schools are great for families; downtown condos are perfect for young professionals.
- Choosing the right Orlando property management company: The goal of the property manager you choose in Orlando is to help you grow your long-term wealth. The right property manager will be as invested in your success as you are.
How Do You Find the Right Property Manager in Orlando?
Not every property management company is the right fit for a landlord! When growing your Orlando real estate portfolio, look for a local property management company that offers landlords peace of mind. One of the benefits of working with the right property management company is the ability to "set it and forget it." Leave the worries of owning Orlando investment properties to the property management company!
Look for additional offerings such as:
- Drive-by inspections
- Interior inspections
- Eviction Protection Programs
- Eviction notices and assistance
- No markups on routine maintenance
Some property management companies even offer sales assistance for dedicated real estate investors—this is ideal! Working with a property management company means you'll have expert guidance in the selection of your next investment property that will bring the highest return on investment for you.
If growing your Orlando investment portfolio sounds appealing, contact Verandah Properties. We know the metro Orlando area and have been serving Orlando investors since 2003. We have a full team, so we can provide the customer service that Orlando landlords should receive from their property management company.
If you're not ready to grow your Orlando real estate portfolio yet and want to do some more research, you can download our free guide, "Real Estate Investing: Grow Your Portfolio." As always, feel free to reach out to our team if you need any assistance with your Orlando investment portfolio!