So, you’re interested in a San Diego rental property investment, but you’re not sure what to look for. What makes a property a good investment?
RentSimpli is a full-service San Diego property management company specializing in single family homes, townhouses, condos, mobile homes, small commercial buildings and small apartments. We have a lot of local expertise and industry knowledge that helps us advise owners like you how to identify the best opportunities.
Here’s how to spot a great rental investment in San Diego.
San Diego is an excellent market for investors who want to buy rental properties. There’s a lot happening in and around the city. The local economy is strong, and the population is growing. It’s a great time to be a real estate investor and, if you’re thinking about entering the market, you want to acquire an investment that’s profitable. We have some advice on how to pick the best possible property. Here’s how.
San Diego Rental Property Location
Location always matters when we’re talking about real estate, and tenants are looking for rental homes in the right neighborhoods.
Tenants are all looking for different things, but most of the renters in San Diego want to be close to work, schools, and shopping. You’ll find that a lot of the millennial tenants moving into the area want a walkable neighborhood. Tenants with families will be looking at school districts. Look for a property that’s accessible and easy for commuters, students, and families. Buying something too remote will only result in a long vacancy or a lower rental value.
You can spot a good investment property in the right location when there’s stability in the neighborhood, and people (owners and tenants) who live in the area make an effort at maintaining their yards and homes.
Well-Maintained Homes Make the Best Investments
Those investment properties that need a lot of work can be tempting. They’re cheaper, and they provide an opportunity for you to make your own mark on the home.
They’re tempting, but they’re also more expensive than they seem. Not only will you have to fund the renovations, you’ll also have to delay putting the home on the rental market. That longer vacancy period is really going to cost you.
You’ll spot a good investment when the property is well-maintained and ready to rent. Sure, there may be some cosmetic updates and upgrades that are necessary. But when the foundation is good and the structure is sound, you’re in a much better starting place than you are with a property that needs multiple contractors to make it ready for the market.
San Diego Rental Homes Must Fit Your Investment Goals
Spotting a profitable San Diego rental property really comes down to your own investment goals. What works for you won’t necessarily work for other investors. So instead of following all the hot trends, take a balanced look at your investment goals. What are you hoping to earn, and why? Knowing what you want and why you’re investing will lead you to the right properties.
We can help you find the right investment, whether it’s your first or the next acquisition in a growing portfolio. Contact us for some help. RentSimpli is a full-service property management company serving landlords, investors and property owners in San Diego & Riverside Counties, including La Mesa, El Cajon, Chula Vista, Santee, Rancho Bernardo, Escondido, Fallbrook, Temecula, and Murrieta.