Condo Investment strategy that works.

[Brian Van Pelt]

For years I've focused on the Condo sector for investment while others have shied away by:

. Buying foreclosed properties 40K to 70K.
. Buying off market units directly from owner. (thru aggressive post card marketing)
. 1 or 2 bedrooms in areas that rent 1300/mo for 1 bedroom and 1500/mo for 2 bedroom 
. Paying cash
. Keeping rehab costs between 10 K to 20 K by doing most of the work myself.
. Use professional photographer to photograph property after reno.
. Make sure the condo association is solvent and the books have recent audit and reserves funded,
. Carefully review condo association capital improvements for previous 5 years
. Do not use a Realtor to find tenants or Management company to manage property.
. Tight screening for tenants
. Inspect properties EVERY quarter

The result is a higher return on investment because

. No mortgage
. No contractors (unless a  one is required by state/county)
. No realtor or Management fees
. Low tenant turnover (most tenants stay 2 to 4 years