Updated and republished: 02/20/2020
The Orlando, FL housing market can be a daunting one for investors; with such a selection, it can be hard to know which potential investment properties will be truly attractive to tenants. Doing an analysis of the market is essential—but it can be time-consuming, and having experts to do free market research can be incredibly helpful.
This is why we suggest that before you even decide on your real estate agent, turn to an expert property management company in Orlando.
- Property managers spend their time creating experiences that tenants love.
- They aim for high-quality, long-term tenants that save you cash while keeping your property in excellent condition.
- A skilled, local property manager can tell you which amenities are popular in the Orlando market area when it comes to renter preference—rather than personal taste.
- They know which neighborhoods are trending with renters to receive a flood of eager applicants.
- They give advice about how fast properties are renting and the kinds of rent rates you can expect based on the home valuation and your mortgage qualifications.
The Property Management Advantage to Portfolio Building
For instance, you might be interested in purchasing a high-end luxury property, counting on a high rent rate based on the amenities of the home. However, if you can't find a tenant, the high mortgage payment is going to put a severe dent in your portfolio. A local property manager with eyes on the market could have warned you that the amenities you thought were attractive simply aren't appealing to today's tenants!
Finding the right rental property is also an exercise in patience: there will be times when the pricing doesn't make sense—but remember that you aren't in it alone! Property management companies in Orlando work with investment properties in bulk: they have specialized knowledge about what makes a property a good investment.
With their insider's edge, they will be able to give you sound advice. Moreover, some management companies (like Verandah Properties) have an in-house sales division for the specific purpose of helping investors find the right investment for their budget and time commitment.
Making sure you are connected to the right Orlando property manager will expand your horizons when adding rentals to your portfolio; you won't have to rely only on your ability to:
- Screen tenants for your Orlando rentals
- List and market your rental properties
- Handle maintenance across your portfolio
- Navigate the Fair Housing Act and other legislation
- Field tenant interactions—including the unpleasant ones.
After You've Found a Property, the Value Continues
When you've made your decision on your next investment and have gotten your first tenants placed, your Orlando property manager can continue to aid you in growing your portfolio. It's pretty common to catch the investing bug when you start developing your long-term wealth as a profitable real estate investor!
- As you see profits and returns coming out of your first investments, that stability is the sign to reinvest.
- Get a fresh assessment of the real estate options available to you that would make great rentals.
- Your property management partner can inform you as to what might have changed in the market.
- If they offer in-house sales, they can even help you begin looking for a new property that's customized to the financial elements at play in your current portfolio.
When you hit five or six highly reliable, income-producing properties, you can consider a riskier project that would have been dangerous at the outset.Perhaps you've found a cheap property in a promising neighborhood—but it needs serious upgrades. These types of project properties are better for established real estate investors simply because the risk of going bust on a property is less damaging. Instead, use your profits—rather than your initial capital—to experiment with different types of rental properties.
A Property Manager Propels Your Portfolio!
If you have any questions on investment property buying strategies, contact the experts at Verandah Properties! We're here to help you grow a profitable portfolio in Orlando and across Central Florida.
Broker/Owner Verandah Properties, LLC
For close to 25 years, Pamela and her team have managed their clients' investment portfolios, making them experts in the field. The Verandah Properties blog series is an invaluable tool for investors looking for guidance on property management, and their in-house sales division is key to helping investors purchase profitable properties.