If you have considered buying an investment property, now is an ideal time here in Atlanta! Now, I’m not a financial advisor, but I think a financial advisor would agree that buying real estate can be a great way to diversify your investments.
As for the rental market in Atlanta, it’s looking good! The rental website Zumper just came out with its most recent report on rental trends in Atlanta and get this, the median monthly rent for a one-bedroom here has gone up 3.7 percent this year to $1,330. Add to that the home price appreciation level sits at 5.28 percent, according to the latest S&P CoreLogic Case-Shiller Home Price Index. With the housing market so favorable and mortgage rates still at great levels, now is a great time to explore whether property investment is right for you. So, if you’re interested, what can you do to begin exploring your options?
1 Run the numbers – First, you’ll need to determine how much you can afford to buy. You may want to make a call to your mortgage loan officer to run some numbers with you based on how much money you have as a down payment and how much loan you could qualify for. Once you know approximately what your monthly costs would be, then you can figure out how much rent you’ll need to make to make have positive cash flow.
2 Start looking at some possible properties – What kind of property you buy is a big decision. There are definitely lots of options, depending on how involved in your property you want to be. Consider whether you’re most interested in an apartment, condo, townhouse or a single-family home? Do you want to own a relatively hands-off apartment? Or are you interested in buying a home and improving it? There are lots of options to consider that I can walk through with you.
3 Create the ideal scenario – Now that we know the financial model that we need to follow, as well as your budget for a property; and you have an idea of the type of landlord you’d like to be as well as the property you’re looking for we can focus in on the local properties on the market. Then we can take a look at potential properties and find just the right investment for you.
So, yes, buying an investment property in Atlanta can be a great way to build wealth for your future. I’m happy to guide you through all the scenarios and properties available as well as walk you through determining your financial model including cash flow and ROI. Let’s work together to help you make the best decision for your financial goals.
~Jess
