Did you know in North Carolina it only takes one year for your property to appreciate by 15%? That is great news for investors.
Over the past few years, becoming a landlord has become increasingly attractive to those looking to make a considerable profit. As demand for housing continues to increase, the investor market is too.
Renting out property is one of the most common, and profitable, forms of investment. If you are in the market for a Greensboro rental property, you are in luck. The housing shortage is pushing smaller cities like Greensboro to the forefront.
There, investors have several opportunities to develop low-risk, yet high-return, rental properties. If you are hoping to learn more about rental property ROI, here is what you need to know about Greensboro rental properties.
Rental Prices in Greensboro
Before you invest it's important to know more about Greensboro's rental price trends. The average rental price in Greensboro is around $890.
That number is expected to increase as the population continues to grow. If you're buying and selling houses quickly, then Greensboro is great as the average property only sits on the market for about 40 days.
ROI Calculation Factors
You need to know how to calculate ROI and your potential profit. However, the calculation isn't as straightforward as it may seem.
You'll need to consider all expenses, which might include monthly HOA dues, maintenance, and property management fees. You'll likely have insurance dues and taxes that you'll need to make note of too.
It's important that you don't forget about occupancy rates. How much you initially put down will also be a contributing factor.
Types of Properties
A rental property ROI is important to all investors and there are numerous ways to make a profit off rentals. You should consider both short-term and long-term investments.
Some people either can't afford to buy a house or simply don't want to and those are the people who are looking for long-term rentals. You can a return on investment pretty quickly if you charge your tenant more than your mortgage payment every month.
Many people only come to town for a few days at a time. Whether that be for business, sports tournaments, or vacation. That opens up a great opportunity for you.
Whether you decide to do short-term or long-term rentals you'll make a rental property ROI. Especially if you use a management company to help you.
A management team will help you increase the amount of money you make in total and ensure you get a return on your investment.
Rental Property ROI
Rental property ROI always fluctuates based on supply and demand. Despite the challenging economic environment, the demand for housing is on the upswing. The need to live and work in the same city is more important than ever.
Company leaders are following the lead of Covid-19 to take workers home. They need to provide these remote workers with a comfortable place to stay.
Demand for non-traditional housing solutions is on the rise. For example, room-sharing and residential serviced apartments are both growing faster than single-family houses.
If you are an investor now is the time to strike in Greensboro, NC. Click here to contact us with any questions.
