Whether it’s the influx of students moving here to attend college, families moving here to escape their home state, or previous tourists that fell in love with the area, it’s no secret that the Treasure Valley is growing rapidly. This, along with the reasons below, is why it’s a great time to invest in a rental property in Idaho. But let’s start with the basics:
What is an Investment Property?
In simple terms, an investment property is an apartment or home that is purchased with the intent of earning revenue from it. In most cases, this revenue comes from renting out part or all of the property while it appreciates, covering the mortgages and other expenses before eventually selling it. You can manage the rental process and tenants yourself, or you can have a property management company do it for you.
While there are many more benefits to investing your money in real estate, these are some of the most attractive:
You’re in Command
If you own a rental property, you get to make the decisions when it comes to the lease terms, rent charge, the tenants you rent to, and how the property is maintained. Being in control of all of these things can help owners feel more comfortable when renting out their home.
When deciding on the cost you’ll be charging for rent, it’s important to keep in mind the goal of creating passive income for yourself. You want to make sure that the rent charge will cover the mortgage payments, maintenance, and any other costs that come with the home so that the money left over can go straight into your pocket each month. While there are typically a few things to do in order to get a rental up and running, once you do those and get renters into the home, there is not much you will need to do on a day-to-day basis.
One of the best parts about being a rental property owner is the tax write-offs that you are eligible for, including:
- Expenses when traveling to and from the property
- Interest on mortgage and credit cards used to make purchases for the property
- Property taxes
- Maintenance repairs
- And more!
How Can a Property Management Company Help?
A property management company like DJW Property Management can be extremely helpful for owners who don’t want to worry about the day-to-day operations of their rental. Property managers help owners secure long-term tenants, maintain the cash flow, reduce the owner’s risk, increase the value of the property, and more.
If you have any questions about how DJW can help you make the most out of your investment property, please contact us!