When choosing a home for yourself, it’s likely that the key deciding factors will be proximity to work, school and loved ones. When choosing an investment property, there are different terms to follow in order to maximize your investment. These three things, recommended by Chris Carrow and Bob Lamson of DuplexKing, are important things to consider when purchasing an investment property.
1. Location. Look at population growth, tenant demand, price growth and upcoming developments in the area. You want to stay ahead of the game and have a good grasp of where the local market is headed. In the Twin Cities, Downtown, Uptown, Lake of the Isles, Lake Calhoun and the North Loop are all areas that are in high demand for investors to purchase and rent out.
2. Maintenance. A low maintenance yard is key. You don’t want to spend extra money on lawn and garden care if it’s not necessary. Sticking to a property that is easy to maintain will alleviate that added cost and responsibility. Duplexes, Triplexes and Fourplexes in busy areas of the city–North Loop, Uptown, Downtown, Lake Calhoun, etc, typically have smaller yards and therefore will be easier to maintain.
3. Sought-After Features. Ample parking space and extra storage go a long way. It’s often difficult to find properties with parking options in busier areas of the Twin Cities, however it’s important to keep in mind that no tenant wants to come home after a long day and drive in circles looking for parking. That spot near the property could make the difference for them on whether to rent your place or look elsewhere.