Several things come to mind. Look through this list and see what matches your lifestyle, desires and abilities at this time. Real estate investment has long been considered the best way to build wealth in the long run. Consider adding to your net worth in one of these ways:
1. Refinance to hold
Interest rates are amazingly low and will save you a considerable sum over time if you plan to own your home for more than a few years.
2. Refinance to invest
Consider cashing out a portion of your equity to purchase an investment property to hold long term as a rental.
3. Hire a property management for rentals
The rules now are so complicated, maintenance and dealing with tenants may take much of your time and energy, and property managers know what the market rent should be. If you are under-renting, you may be spending the 9 or 10% that property managers charge by not keeping up with the market!
4. Maintain your holdings
Keep up with maintenance continuously on your primary residence and investment properties (we have an app to help you keep track).
5. Become a hard money lender
There are local companies that offer the ability to invest in projects they have vetted and will allow a gain of up to 8% in their real estate holdings.
6. Consider offering vacation rentals
Higher rents and variable pricing during busy seasons, but high turnover means organizing house cleaning services. There may be “deals” coming with tourism hit hard by COVID, and some owners may need to sell.
7. Flip a home
Purchase homes that are in need of serious help and money to do so, and after it is completed, sell for a profit above and beyond the expense of rehabilitation. Some buyers will do this quickly and hire contractors, some use the home as their residence and take a few years and do work themselves on the weekends.
8. Commercial real estate
It has been lucrative in the past and should rebound after COVID 19, but for now is not as much so. As values drop, it may be a good time to pick up some good values, so keep an eye out…
You will be very satisfied with your investment when we help you to find and purchase good rental properties. Call us to find out more.