The first thing we need to do is get our finances in order and start taking advantage of some of the bargains that are still on the market. Contact a loan officer in your area (Foreclosure finance specialists can be found on USHUD.com). After discussing the options with a local mortgage professional and contacting the local USHUD agent in your area we should be prepared to start searching for a bargain home which can also be found on USHUD.com. By working with an agent in the know instead of the agent that we already know we can usually find a better match for what we are looking for. What are we looking for? We are looking for a home that needs a minimum amount of repairs and then place a bid on the property that is reasonable and will win the house for us. We are not looking to make unrealistic offers that are not going to be accepted. Looking at lots of homes and making offers that are not going to be acceptable is a sure fire way of getting discouraged.
This is where we can make a real difference in our futures. Instead of waiting for the perfect investment home, we need to focus on a home that can meet our needs as far as rental income. The more repair the more out of pocket costs. According to studies from USHUD sources, the more repairs the more vacancy time which is one of the worst possible scenarios for the owner of the rental homes. Even if the house is paid for in cash, vacancy is the enemy and should be avoided like the plague.
The only thing that is worse than vacancy is being in a desperate position to get a tenant and then making the mistake of renting to a derelict that thinks nothing of destroying our rental property. This can be avoided easily by marketing the house as quickly as possible. The repairs, if there are any don’t even need to be done before we show the home to a potential tenant. We need to remember that tenants are just as likely to want to put their own spin on the choices of colors and carpet and if it is not too out of the norm, making the house look the way they want can generate good will and a longer lasting tenant.