It goes against conventional thinking: renting a home instead of purchasing one. For one thing, consumers are aware of the value of real estate and how building equity in a home is vastly superior to renting with no return. However, times are changing. A lot of that has to do with the fact that owning a home is becoming harder and harder for the middle class; and is almost impossible for the lower class. But why? Especially when today’s economy points to a robust job market and a 50-year record low for unemployment. Affordability is at the heart of the matter. Although it may not seem like a great time for homebuyers, who are battling raising interest rates and all-time low inventory, it’s an incredible time for investors. Real Property Management Southern Connecticut, a leader among Hamden property management companies, believes that now is the time to invest in rental property.
Filling the Void
The housing market is at a crucial juncture. Although the market has by and large recovered from the housing crash from more than a decade ago, it’s still plagued by a serious affordability problem. The issue no longer rests with the process of getting a loan like it had some years ago. However, affording a home loan is. Because of this, a void has developed: one where downsizing baby boomers and student-debt laden millennials are trying to find a compromise between lifestyle and affordability. That’s where detached single-family home rentals have really been a saving grace. It’s even captured the eye of homebuilders. New housing developments comprised exclusively of detached rental homes are cropping up all over the country where affordable housing is a problem. Nonetheless, Sandeep Bordia, head of research and analytics at Amherst Holdings LLC, points out that new-build rentals are still a small fraction of the single-family industry, and are likely to stay that way because large corporate investors can often acquire rental homes for well below replacement cost.
However, Hamden property management company RPM Southern Connecticut sees this as an opportunity for private real estate investors to really make a difference. This is especially true as popular metros continue to spill out into suburban areas as people flock in for new job opportunities. Rental homes are a good match for a housing market that is fraught with tight inventory, which is pushing prices beyond the point of affordability for many buyers.
Jumping Into Real Estate Investing in Hamden
As with any piece of real estate, location is paramount. Being a suburb of New Haven, Hamden is poised to offer affordable housing solutions for this neighboring metro. With big employers like Yale University, the Yale-New Haven Hospital and Alexion Pharmaceuticals nearby, investors can bet that rentals will do well in this suburb. If you don’t already own property in Hamden, it’s wise to reach out to professionals who can guide you to the right kinds of properties. Our Hamden property management company, RPM Southern Connecticut, understands the unique needs of Hamden residents and can help you position your find the right property to invest in. Below are several features to look for when searching for a home with rental potential:
- 3+ bedrooms / 2+ bathrooms
- Quiet street
- Fenced yard
- Traditional or open layout
- Less than 15 years old
With so many historic homes in the area, it’s vital that you carefully evaluate the kinds of maintenance the home will require and that it is a home that would justify market-value rent rates. RPM Southern Connecticut can help you evaluate a home’s rent potential and even walk you through the investment purchase process.
How Professional Hamden Property Management Helps You Invest With Confidence
Now that you’ve found the right home to invest in, you’re faced with the decision to either manage the property yourself or hire a professional management company. Even if you dedicated yourself to full-time management of your rental property, the reality is that professional management is more cost-effective when you account for the time and money you save over self-management. Consider the following challenges many self-managing investors face:
- Finding reliable tenants can be difficult.
- Handling emergency maintenance issues is inconvenient.
- Rent collection can be discouraging.
- Lease contracts need to be enforced lawfully.
- Dealing with an eviction is frustrating.
- Turnover can be frequent.
- Preparing a property for new tenants can be expensive and time-consuming.
However, partnering with a company like RPM Southern Connecticut allows you to reap the benefits of real estate investing during this unique time in the housing market, while alleviating the stress of managing your investment alone.
Working with the Best Property Management Company in Connecticut
Put simply, a well-managed property will perform better and can be a lucrative investment. As a nationwide company with over 275 offices, RPM Southern Connecticut is equipped to guide you through the process of investing and managing your rental in an efficient and professional manner. You can rest easy knowing that our professional Hamden property management services cover every aspect of the real estate investment process with:
- Cost-Effective Pricing with No Hidden Fees
- Customized Rent-Rate Evaluations and Targeted Marketing Strategies
- Rent-Ready Assistance and Comprehensive Tenant Screenings
- Regular Interior and Exterior Property Inspections
- Affordable Remodeling Services
- Risk Management and Eviction Services
- Independent CPA Audits on Owner Trust Accounts
- Easy-to-Understand Accounting and Maintenance Reports
- Online Rent Payment Management and Owner Direct Deposit
We provide you with the tools you need to be a successful real estate investor. We also offer a free video resource library and a friendly customer service team to help answer all of your questions. Call us today and see how we can serve you!