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Updated over 4 years ago,
Just getting into owning a rental property
Hello everyone. I am a 26 year old. That currently owns a home and I have worked towards only having my mortgage has my only debt/payment. I know have enough saved up that I am wanting to get into rental properties. I am looking for any tips and suggestions. I am having trouble trying to decide on what kind of property to first buy.
I have Ran the numbers on a condo but with the high monthly maintenance fees and looking what they rent out for there isn’t a lot of room to have a positive cash flow.
I have also looked at a few smaller single family homes usually they are 3 bed 2 bath with a small garage and a fenced yard with grass. There would be some positive cash flow on some of them but not much. I am wondering if something like this would be hard to rent out due to the renters that would be looking? I would think a young family would rent it rather then a couple or a single individual.
I have also looked at a house with a legal suite downstairs. This set up would leave a good positive cash flow. But I was worried about how the utilities would work if there was 2 completely different renters in the house? I also think it would be hard to find renters that would get along well. For example. If a young family moved in upstairs and the kids were noisy it would make the person in the basement annoyed. Any input on a set up like this? Also would insurance be more with 2 separate tenants?