- Jun 26, 2013
- Reaction score
I just dropped $10K for a new roof on my rental property after the two storms hit the area this year.At the moment housing prices seem to be high everywhere and is why I haven't bought anything in the past couple of years. My experiences have been that searching for the right priced property can be like panning for gold which is a dayumed hard situation. Property is risky and if you think it isn't there are one hell of a lot of landlords stuck with tenants that are trashing properties that can not be evicted at the moment. On the horizon is the high possibility that Biden will be resurrecting the provisions of the 1968 housing act. With that in mind remember you are buying a depreciating asset and with that I mean you will need roofs, furnaces, technological upgrades with some of the old issues like termites. It is not the bed of roses many claim it to be regardless of what they tell you on 2 am television.
With the benefit of hindsight I have been able to attract some very well financed single individuals that just don't want to live in an apartment. They want the privacy of a house and not having to live across the hallway from who knows who. So while they may not be as profitable on paper in an analytical point of view in actual practice they can attract a much better renter and believe me it has been my experience one bad tenant can mess up a property's years of profit in one swipe.
Landlording is risky and the road to profit is cluttered with undercapitalized landlords that thought it was a road lined with gold and unicorns and in my case, and many others I know, it is one very tough business to be in.