Smart & Safe way to transfer fund overseas

I’m 55 and interested in Real estate. Should I focus on rentals or flipping?

This is the question many investors ask….

Get informed educated! Profit from AirBnB

Danny Morrison, Sr. Business Development Manager at Global Real Estate Licence Answered this on Mar 212019

You are 55 and you want to be at home with your friends and family and spend time with them. You have already done the hard work in your life and now you want to have some time for yourself and your family where you can easily be able to meet all the expenses and live a relaxed life.

My suggestion would be to go for Rental.

If you’re looking for a steady inflow of cash, there is no better way than buying rental property.

Not only that you will earn rental payment but the price of the properties (Right location) will keep rising.

What do you have to do for this?

Buy a property – rent it out and enjoy the steady inflow of money until you choose otherwise.

Many investors around the world use this strategy to generate a steady inflow of cash.

But, is it that easy? Or, does buying rental properties require a strategy?

Well, you might have heard about smart investments, right?

Jog your memory a little, you might have in your real estate license training.

Yes, that’s your two cents of wisdom for buying rental properties.

As long as you’re taking the smart approach, you’ll be well on your way to generating a steady source of income for yourself.

Sure, there will be some speed bumps along the way, but you have to stick to your game plan persistently to be successful.

Don’t Be A Bundle Of Nerves

Come Out OF Your Fears, Already! JUST DO IT!

Let’s clear the air a little bit, everybody makes mistakes, I’ve made quite a few myself.

But, does it stop me? No!!

And, it shouldn’t stop you either.

You can take a precautious approach to invest but don’t let the analysis paralysis keep you down.

Start somewhere, even if it’s a small investment.

As long as your smart strategy is concerned, I will take you through all of the different aspects you should consider when buying rental property.


Step #1 – Choosing Your Property Type

Well, there are many kinds of rental properties that you can start investing in. You can choose to invest in single family homes, multi-family units, shopping centers, storage units, office buildings, and whatnot.

All of these categories have varying prices and opportunities, it’s your job to choose one, depending upon the size of the investment you want to make.

Let me give you a breakdown.

Residential Properties

  • Single Family Units
  • Multi-Family Units
  • Apartments

Commercial Properties

  • Shopping Centers
  • Office Buildings
  • Storage Units

Besides these self-managed options, there is also the option to invest through different investment funds. These funds are a wonderful way for small-time investors to get started in real estate investing and make their way from there.

Step # 2 – Choosing Between Local or Long Distance Properties

The second step you have to take care of before you get into buying a rental property is to decide whether you want to invest locally or in a long distance property.

What do I mean by this?

local investment would be in a property located in your own market, your own neighborhood, or your own city.

But a long distance investment would mean investing in another market, another city where you see a potential of market value increasing over time.

Still not making sense? Hold on a minute.

Benefits Of Investing In A Local Property

  • Easily manageable
  • Easily rented out
  • Self monitorable

Benefits Of Investing In A Long Distance (a growing market)

  • Higher Rents
  • More cash flow
  • Greater returns

Step #3 – Choosing Between Appreciating Properties or Cash Flow Only

As an investor who’s focusing on buying rental properties, you need to understand how different markets behave over time.

It’s an analysis of the current market value of a property against the predicted market value over a certain amount of time.

Let me paint a scenario for you.

There’s a property 1 in Market A which has a market value of $100,000 dollars and its expected value is predicted to increase to $150, 000 in 1 year.

On the other hand, you have property 2 in Market B which has the same market value but its expected value is predicted to stay the same in a year.

Obviously, you’d want to choose property 1, I would too.

But, it’s crucial that you keep step #2 in mind when making the decision to invest in other markets.

Step #4 – Self Management Or Hiring A Property Manager

This is one of those decisions, you’d have to make after you’ve purchased the property. You can choose to manage those properties yourself.

However, if you don’t want to be actively involved in managing those day to day tasks, you can always hire a property manager to do the job for you.

Still, it’s a decision you have to take care.

By managing your properties yourself, you can save up on money and keep a close watch on everything.

Only, if you want to get away from all the hassle like interviewing tenants, managing rents etc. and don’t want everything on your plate, you can hire a property manager just keep in mind that this person you hire is not only going to represent you but your money as well. So until and unless you trust them fully, don’t hire them.

Benefits Of Self Management

  • No extra costs
  • Closely monitored properties
  • Full control

Benefits Of Hiring A Property Manager

  • No hassle
  • No rushing to emergencies
  • No extra work

Step #5 – Keeping Demographics In Mind

Quite frankly, this is one of the most important aspects to consider with your investment property.

My friend, you have to make sure that all your demographics match up so that you can be successful as a rental property investor.

Did this just go over your head?

Hold on, Let me explain further.

A property located in an area that doesn’t have any good schools is never going to appeal to a family with kids.

Get it?

All your demographics should match up to the rent you’re proposing for your property. If it doesn’t, you’ll definitely have a hard time find a tenant

Step #6 – Choosing To Finance or Cash

A single question you need to ask yourself when buying a rental property is whether you want to pay cash or finance?

If you know the answer, your job will be a lot easier.

Step #7 – Choosing The Location wisely

Remember my friend, a great rental property would be one that doesn’t give you any trouble. It attracts tenants and is located in a great area so they pay their monthly dues on time.

What categorizes a great property?

I have managed to put together a list of different properties that are great to rent and would certainly be a smart investment.

Located Around Schools: The most common tenants are usually young families with kids. So a property located near good schools would attract more families and it will be easier to rent them out.

Good Neighborhood: There are people that look for houses in great neighborhoods because that overall environment is important to them. These people would even sacrifice living in a not so great house to live in a good neighborhood.

Smaller Houses: One thing you need to understand is that smaller houses are easier to rent out in comparison to larger ones. So think smartly, when buying rental property.

Houses With Not Too Many Upgrades: I get it, accessories are great but they don’t get you any extra rent, do they? So when making an investment, look for a clean and nice one, after all, that’s what people need, not what they want.

Step #8 – Keeping A Budget For Maintenance
★ ★ ★ ☆ ☆ Color Changing Motion Sensor Toilet Nightlight — A$17.74 (Save 42%!)
The LED Color Changing Motion Sensor Toilet Nightlight combines the vision positioning system of a night light with eight different colors of soft light to indicate the position of a toilet in a dark bathroom. Super easy to install (just hang the light over the bowl facing the door), the light comes on automatically when sensing movement and…
The LED Color Changing Motion Sensor Toilet Nightlight combines the vision positioning system of a night light with eight different colors of soft light to indicate the position of a toilet in a dark bathroom. Super easy to install (just hang the light over the bowl facing the door), the light comes on automatically when sensing movement and stays on for two minutes after last movement is sensed. Two light modes let you select one set color or random colors that change every 15 seconds. Great for kids and guests! PRODUCT DETAILS: Auto-sensing system 8 colors light in turn Energy-saving design Flexibly band for easy set up and adjustment Sanitary design: easy to clean Two mode options: steady and random colors Power: 3*AAA Batteries (not included) Sense Distance: 3 meters Dimensions: 7.5*5.5*8.5cm
3.69 58
12.15 USD InStock

One mistake that I’ve seen many investors make is to not do the math properly.

It’s easy to get distracted by all the money coming in. It’s easy to lose track and not keeping a maintenance budget in mind.

Don’t ever do that!

No matter how good your property is, there are always going to be some maintenance charges if not many.

Always keep the worse in mind when planning these things out.

Step #9 – Invest In A Property That Has Positive Cash Flow

Whenever you’re buying an investment property no matter rental or any other, always invest in properties that generate positive cash flow.

You have to analyzeall your options and invest in a property that will make you money.

How it’s done?

Here is a guide that will be very helpful in this scenario

An Investor Guide to analyze deals

Step 10 # Always Have An Exit Strategy

You might have heard of having an exit strategy for your real estate investments.

Substantially, buying a rental property is not any different.

When you buy a property, ask yourself, what’s your goal? What do you want from this property? And, for how long do you want to keep it? It’s always good to plan ahead. Think about your exit strategy and how you’re going to handle it.

Here is a free guide on Exit strategies for Real Estate investments

Exit Strategies for Real Estate Investment

RSS C J Investiment

  • Greatest Depreciation Impact on buying brand new property versus second hand property. September 17, 2019
    The recent depreciation changes have the greatest impact on the types of property you may choose to invest in. Some people prefer to invest in brand-new properties, while others opt for older property that they can renovate and resell for profit. Washington Brown, who are the property depression experts and accredited surveyors in Australia and internationally do […]
  • How to Use Leverage to Build Your Business Effectively September 7, 2019
    Leverage is simply doing more with less. When we mentioned leverage in this context, money is what people think of most often.  Loans, mortgages, other people’s money – all are forms of leverage based on money. While this type of leverage is important, it is equally important to use other forms of leverage in your business strategy.  Your Wealth Team Systems […]
  • Some incredible deals available for people who can refinance September 4, 2019
    The market is changing fast. Banks are again showing an appetite for interest-only loans again. And many lenders have reduced their assessment rates by up to 2.0%, which represents an increase of approximately 12-15% in your borrowing capacity. There are some incredible deals available for people who can refinance.  Secure a complimentary loan review with our JV partner, EK […]
  • World Recession and its impact on housing prices September 3, 2019
    According to economist discussions in many fora, recession is on the horizon. Well,let’s take an in-depth look at what’s occurred recently and in the past, so we can put your mind at ease about the word recession and its impact on housing prices. The official cash rate sits at 1 per cent. The Australian dollar fell to 0.67% […]
  • How I started Real Estate Business September 2, 2019
    Many people ask me why I started real estate entrepreneurship instead of sticking to my Nursing Profession. I tell them that as much as I enjoy my Nursing Career, the one disadvantage of it is that I trade my time with a dollar. That is if you don’t wake up to go and work, then […]
  • How to Sign a Rental Lease Agreement With Your Tenants September 2, 2019
    In order to sign a rental lease with your tenants, you will need to have – of course – a rental lease. You can get a state-specific lease agreement from a number of sources, such as Government Agencies or your attorney. Each Region has different rules and laws that govern the landlord-tenant policies in that state, so chances are a […]
  • How to Rent Your House to the Best Tenants September 2, 2019
    The most important decision you make that will determining the success or failure of your rental is the person you put in. A bad tenant can potentially cause years of stress, headache, and financial loss – while a great tenant can provide years of security, peace, and tranquility. Don’t underestimate the important of renting to only the best tenants.You are reading […]
  • Money Management Strategies for People In Diaspora August 31, 2019
    Here are some ways workers living overseas can manage and protect their money for better long-term financial health. Open a local bank account A local bank account can help you save money on extensive ATM fees. It’s also a good thing to have for making deposits each time you get paid. When you use a foreign card […]
  • The Single Most Important Step You Will Take If You Want To Have A Successful Website August 31, 2019
    Everyone is looking for a short-cut to online riches and yet over 99% of those people NEVER use the informational products and money-making tools that they’ve purchased. We get too busy, or too lazy, or we simply procrastinate so long that we forget what we were intending to do in the first place. While there are a lot of […]
  • Double Your Productivity August 26, 2019
    If you read one article before starting your week, read this one. Set aside a few minutes and focus. I am going to share some habits that I’ve implemented myself that have resulted in massively increased productivity for me! I learned this strategy from my business partner,the creator of Rehab Valuator,Daniil Klyman. This article will […]

Google Translator

Recent Posts

Our Agents

Charles Vincent Kaluwasha

President and Founder

President & COO, C J Investiment LLC. Charles Kaluwasha has been a part-time entrepreneur and investor since 2008. He currently…