Rental property management can be a lucrative profession and we get asked this question all the time. It is easy for you to make money from rental properties, but that all hinges on many factors to determine how much money you can make renting your property in Raleigh.
The first thing that you will need to do is calculate your monthly income. You do this by multiplying the monthly rent by the number of houses or apartments that are being rented. For example, you charge $1,000 in rent and you own 3 properties, you will bring in $3,000 per month from the rent.
You will have to calculate your expenses in order to make money from rental properties. Insurance, taxes, mortgage payments and a management fee to your management company are some of the expenses that you will have to take into consideration. You will also have to consider the cost of maintenance and other expenses, such as utilities and landscaping while vacant, capital improvements needed over the years, etc. Additionally, if you are a member of the HOA, then you will have to include those fees as well.
The money that you have left over, after you cover all of your expenses, will be your profit. Ideally, you should not only have enough money to cover your costs, but you should also have money left over that can come back to you directly to reinvest or save. If your expenses are making it difficult for you to make ends meet, then you may have to raise the price of the rent or find ways to trim your expenses. For example, you may want to shop around for a different insurance provider or other contractors potentially hired to help with upkeep on your property.
If you are looking for a Raleigh property management company that can handle your investment properties or you just want to speak with someone about your potential opportunity to rent your home or condo or building, then give our Raleigh property managers a call today.
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