Baltimore Rental Properties For First Time Investors
First Time Baltimore Rental Property Investor Tips: From Location to Property Loans
Baltimore rental properties can be lucrative investments for those who are just getting into commercial real estate. Baltimore investment properties provide long-term revenue with little time or labor, if you know what to look for.
Finding the Right Location in Baltimore
Location can mean the difference between a folly occupied rental and one that sits vacant on the market for months on end. Baltimore rental properties need to have access to what tenants need. Some are looking for residences within a short distance to school. Others want access to shopping and nightlife. Most want to be near a fast or easy commute to work. When you are looking at Baltimore rental properties, take a look at the larger map to see what is nearby. Scout out the neighborhood. Look for the possible features which would appeal to potential tenants and talk them up in your listings.
One Unit Is Great. Multiple Units are Fantastic!
When looking at Baltimore rental properties, look at the floor plans and see exactly what you are getting for your money. One or two units can provide revenue which will cover the mortgage while providing a supplemental income. A triplex or an apartment building with five or more units is even better. Since most units will go for the same amount per month, more units equals more revenue, while still covering any financial obligations.
It is also important to know that single family rentals are practically nonexistent. Anyone looking for a single family home is not looking to rent because it is more financially sound to purchase a house at that point. Remember, the more units you can get out of a rental property, the more of a financial buffer you will have. If you are looking at Baltimore rental properties with two units, if one of those units becomes vacant, that can place a sizable strain on cash flow. With more units, a financial buffer is created, so if a single unit become vacant, there is still a good amount of revenue still coming into your account.
Financing For Baltimore Rental Properties
There are a number of options available for financing Baltimore rental properties. SBA loans provide capital for rental properties, so long as they are owner occupied. Conventional, rehab, bridge, and even mezzanine loans can cover the cost of acquisitions and renovations on properties of all sizes. Source Commercial Funding provides solutions for rental properties throughout the Baltimore area. Contact our offices today by email or CALL (202) 499-4441 (mobile users, simply press the number for auto-dialing) to learn more.