Interested in buying a home in Connecticut as a rental property? The conditions may have never been better for buy and hold investors but that doesn’t mean you should rush in without doing your homework.
If you have your heart set on buying a rental home in Connecticut instead versus flipping houses start by deciding whether you are willing to entertain taking on a handyman special which will require you to do your own repairs and remodeling or if it is better to take the safer and lower stress path of acquiring properties which are already in rentable condition.
Remember that unfortunately there are still many desperate sellers out there who may be willing to do and say anything to sell their homes in the current market. This not only means making sure you conduct a thorough home inspection but also verify rental rates, leases and deposits amounts with the actual tenants themselves.
If there is no long term lease or tenant in place make sure that you double check the rental demand in the area before buying any investment home in Connecticut. Of course right now the odds are good that demand is high and rents are rising quickly but don’t get caught out.
If this is your first time buying a home in Connecticut then be extra careful to make sure that you are fully aware of all the expenses involved which could affect your returns and cash flow. This includes association dues, shopping around for the best insurance rates and of course property management services so that you aren’t tied down to your new investment.
Lastly, ask around or do your due diligence online to determine if the neighborhood headed up or down. Not just in terms of values but crime rates, demand and the quality of schools in the area.