Are you thinking of buying an investment property in Asheville, North Carolina? Purchasing a rental property has numerous potential advantages. You could see a rise in the property’s long-term value and create a steady income stream by investing in Asheville real estate.
Located in the heart of the Blue Ridge Mountains, Asheville, North Carolina offers its residents the thrill of a big city lifestyle while still being close to the beauties of nature. Thanks to the breathtaking environment and miles upon miles of gorgeous views, it’s easy to see why this mountain town's residents refer to it as "The Land of The Sky."
Asheville is a city known for its dining options, mild atmosphere, and diversity of year-round events. It provides all the sought-after local amenities for people thinking about purchasing a property. If you're considering moving to the mountains to live or invest, Asheville is the perfect place.
But if you're just getting started, it's beneficial to pay attention to expert guidance on how to get the most out of your real estate investment. If you put in the necessary research and time, renting a house might have a big impact on your financial goals.
With our experience being a property manager in Asheville NC and its surrounding areas, we decided to create this article, to go through the basics of investing in Asheville real estate. Pay attention to these tips to make the most of your investment property acquisition!
What Is the Asheville Real Estate Market Like?
Asheville's population has been growing steadily over the years leading to an increased demand for both rental properties and homes. And based on the region's current economic trends, this should continue in the years to come.
This fact alone should encourage potential real estate investors to consider Asheville as they are more likely to see stable rental income and appreciation in property value here than in other markets.
Top Tips for Real Estate Investments in Asheville
1. Locate Listings within Your Budget
The kind of real estate you invest in as an owner must be taken into account. There are numerous possible types of rental properties in Asheville. You have a wide range of options, such as single-family homes to studio apartments and condos.
Determining your optimal price range is vital. By deciding on your price range, you may effectively rule out various properties that could end up costing you. Choosing your optimal price range requires taking into account all applicable taxes, including HOA dues and mortgage payments.
What’s more, you have to consider renovation and marketing costs if your goal is to use the property as a rental that generates passive income.
2. Settle for Neighborhoods with High Rental Rates
Gaining money and creating a source of income are the goals of any real estate investor. If you want to maximize your financial returns, concentrate on finding locations that will allow you to charge higher rent rates.
Include the cost of upgrades and remodeling when calculating potential earnings. You must attain the balance between your one-time fees, recurring costs, and income to ensure that you’ve invested in the right property and neighborhood.
3. Think about Partnering with a Qualified Property Manager
First-time investors can often underestimate how much work goes into owning and managing a rental property. The routine tasks may become too much to handle, especially if you have a full-time job or other properties in your portfolio.
An ongoing preparedness to solve problems is essential for effective self-management. Consider working with a reputable property management company if you don’t have the time or experience to do it yourself.
The best companies cater to all of your management needs and preferences while providing the finest standard of living for your tenants.
4. Examine the Statistics
You must perform as many calculations as you can before signing any sales contracts. To determine how much money you could potentially make from your Asheville real estate investment, explore different scenarios.
It pays to set expectations for moderate growth. If your investment approach is based on overly optimistic assumptions, you might find that the monthly revenue is inadequate.
The alternate is significantly better. The discovery of a higher return, an increase in property value, or other positive occurrences is always welcome when making conservative projections.
5. Improve the Attractiveness of Your Property
Once the deal is finalized, your primary aim should be to make the property as enticing to potential renters as you can. Among the actions you can apply, consider the following:
- Make small renovations. Consider adding a fresh coat of paint to the walls and replacing hardware and fixtures throughout the property. If you have more money in your budget, consider putting in hardwood flooring or granite counters in the kitchen and bathrooms.
- Purchase energy-efficient equipment. By updating common hardware components like lighting, washing machines, and refrigerators, you can change how your properties look and are perceived.
6. Identify Current and Future Trends
Initially, be aware of the way the market is behaving. See what comparable units have priced their rental rates at. You should also try to predict the market's future course.
Scour the web to check if any new schools are being developed and if there are major government or private housing projects in the works as these project potential future expansion.
In a Nutshell: Real Estate Investing Tips in Asheville
Asheville is a vibrant city with a welcoming and diverse community. You’ll be sure to find something to do in this picturesque city located in the Appalachian Mountains.
Real estate in Asheville is enticing for investors for a number of reasons. However, you should begin by seeking out the best guidance. It's important to find the right neighborhood, access the area’s market performance, and plan your budget.
If you would like with managing your investment consider parenting with a trusted property management firm today. Let the experienced and reliable team from House in Order Property Management help you with your investment properties!