What if you live in an area where real estate is expensive, but you're dreaming of purchasing an investment property? Or, the area you live in may not be a good choice for a rental. In either case, investing outside of your area is possible—with a little professional help.
So long as you have a Charleston property management company to help you out, you can build your real estate portfolio even while living in another state. But there are a few things you should know if you choose to do this.
Research shows that from 2007 to 2061 an estimated wealth transfer of $59 trillion will occur from 93.6 million estates. So, your Charleston investment property may be one that you have gotten after the passing of your loved one. Or you may have two or more real estate properties courtesy of a divorce or relocation.
However, your entry into real estate investment doesn’t matter. What matters is that you take advantage of the available opportunities to grow your portfolio and wealth.
Your first order of business is to do your due diligence and research the market before renting out your property or buying more.
Who are your potential renters? Studies show that most people in Charleston work in the logistics, information technology, automotive, life sciences, and aerospace industries. Know what these people earn and at what stage in their lives they are in. That knowledge will come in handy when you start advertising your rental property.
It also helps to find out the amenities in your locale. Are there any outdoor parking spaces within the area? Do you live close to good transportation networks and shopping centers? How would you describe the school district? Will renters have access to a full-service gym or pool facilities?
Different renters look for different things. So, it helps to know how to frame the local attractions.
Researching into every aspect of your real estate investment will determine just how well you can market it. It also helps you stay on top of the legal regulations in the area it is located in.
You don’t even need to be in that state if you partner with a Charleston property management company. With accurate market insight at your fingertips, you can find the right renter that will pay the price that you set.
Charleston is a great place to live. But what if you prefer living elsewhere? Or, what if you have no choice but to work and live somewhere else?
The good news is that you can invest from anywhere. You can build your real estate portfolio and grow your wealth where the markets are strong. Feel free to go where the money is, no matter which part of the country it is in.
The Charleston housing market is expected to be one of the best real estate markets for the next few years. There is plenty of demand from buyers coming from expensive markets that are looking for more affordable housing. But there is a shortage of homes at the moment, which means you can get a decent rental income if you already own property in the area.
Building a real estate portfolio is about finding the best deals possible. And sometimes, that means ensuring you own a piece of Charleston even if you don’t live there. With time, that property will appreciate. You could opt to sell it later if you like. Alternatively, once you retire, you could move closer to where your real estate investments are, and take a more active role in managing them.
You should find a Charleston property management company to partner with. It’s the only way to successfully grow your real estate portfolio while in another state. Take the time to find a reputable company to ensure your property is well cared for.
According to Zillow, 36% of homeowners regret having to deal with unexpected repairs and maintenance. It is nearly impossible to deal with these kinds of issues if you live in one state and your investment properties are in another. And if you cannot sort out these problems for your renters, then you are likely to lose them.
The company you choose will also help you stay legally compliant, and price your property accurately. When there is a vacancy, it will be responsible for marketing and screening potential renters.
Successfully investing in Charleston real estate while you are in another state is possible. But you need to do due diligence and learn how the market works. You also need to partner with a good property manager that can be an asset to your wealth-building efforts.
To learn more about maximizing your investment portfolio's success here in Charleston, download our free ebook, "Real Estate Investing: Grow Your Portfolio!" today!