Tuesday, November 17, 2015

Las Vegas Housing rental rates can increase rental profit

The Las Vegas Housing market has improved and it is much more stable than in the past few years.  Of course, the property values have gone up but the big change has been the explosion of rental rates in certain parts of the city.  The time to buy a home in Las Vegas for rental income is now.  The interest rates are very low even for investment property purchases so you can leverage your cash for excellent returns.  In a city like Las Vegas finding quality rental property is not difficult but it will take a 3-5 year plan to enhance profits.  The most important thing is to get financing at the extremely low rates and consider the projected rental rates and housing costs over the next 5 years.  The key is to find property that will give you small returns of $100 to $200 in cash flow each month rather than to look for the home run property.  The home run property will come along but there are money making properties on the market every single day.  Investment in real estate makes money exponentially over time.  Each day you do not own property you are losing potential future income.  If you calculate modest appreciation of housing values and modest yearly rental rate increases it is easy to see how valuable real estate is over time.  Building your net worth is the name of the game in real estate.  Net worth will give you options in life and you will be able to use net worth as evidence of your financial stability.  It will give you access to cash to buy the home run property when it comes along. 

Thursday, November 12, 2015