Resource Tips for Determining Rentability

[Nicolas Savvides]

Hey Everyone,

I'm looking at a great property but I can't tell how rent-able things are in the area. 

Any suggestions or tips for confirming the rent-ability of an area / turnover periods? 

I appreciate your responses! 

[Zachary C.]

@Nicolas Savvides     

     Not to my knowledge. However, the generally spouted concept is the less owner occupied houses the lower the neighborhoods quality, the lower the tenants quality, the higher the turn over, and the higher the maintenance. This of course is not something set in stone by any means and there a ton of different reasons it could go either way regardless of how the owner occupied vs investor owned ratio looks. 

     I would say to look at the vacancy rates, now you probably won't get actual numbers, but you could get a feel by driving around; looking at overgrown grass, for sale signs, for rent signs, etc. If thats not an option looking on craig's list and similar sights to see how many in the area are listed at once, how fast they come back up for rent, etc. would be me next idea for checking from a distance (if that's the issue). A possible way to get some harder number would be to contact different property management companies in the area, tell them your are looking to buy a house in that neighborhood.  I would ask them things like do you manage stuff in this area, how do they do, etc.

     I actually talked to PM before buying and told them about what I was looking to do and what areas I was looking at. She asked me why I had excluded neighborhood x but kept y. I had made an assumption based solely on the neighborhood and she informed me that some of their best properties actually came from that area.