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Major types of residential real estate rentals.
Major types of residential real estate rentals.
Real estate rentals come in five major types of residential rent homes depending on how renters classify each abode.
New York,
NY,
United States of America
(prbd.net)
05/09/2010
"Major types of residential real estate rentals."
Real estate rentals come in five major types of residential rent homes depending on how renters classify each abode. The real estate industry is growing and becoming a competitive industry that caters to the basic housing needs of different kinds of individuals. So if you are looking for the right type of homes to rent, knowing the types of rental properties can help you choose the one that suits your needs and standards.
The first type of real estate rentals are single family homes. These are perfect for families who are either the nuclear type or the small extended one. These types of real estate homes are most appealing to investors because they are easily preferred by many renters. Also, single family homes provide investors the easy entry into real estate business since options for financing and low down payment are high. Not only that, investors find building equity faster in times of shooting prices. Family homes are so easy to be rented and eventually sold to home owners or other investors. However, family homes investors must be wary of the slow cash flow produced against the amount of expenditures for building these kinds of homes. One single unit that has lost tenants can make real estate owners suffer hundred percent fall back until the property is rented once again.
Another type of real estate rentals are apartment buildings. The advantage of getting apartments as rent homes or as form of investment is that the prices and rates are based on the income of tenants. This shows that getting a decent cash flow is sure as long as the tenants pay for the rent. There are actually apartment buildings that offer low rents. However, the downside to this type of rented property is that the landlord has the discretion to increase the rent as quickly as he wants to. Nevertheless, low down payment is only needed for one to rent an apartment unit.
There are also the duplexes, triplexes, and fourplexes as rent homes to suit the needs of a large family. These two-unit or five-unit real estate rentals can be a haven for people who seek spacious abode for themselves. For investors, on the other hand, this type of rental homes can provide challenging cash flow since people opt for buying instead of renting whole property. This is why prices for joint unit properties have ascended too high to make income more convenient for real estate investors.
Lastly, there is the low-income housing. Homes and small houses that need repairs have their own category. This is an advantage to investors who want to try a new market. The downside for investors only concerns the amount and gravity of the damage that needs to be repaired. Although there can be more hassles in overhauling the whole property, some real estate investors have found great ways to take advantage of damaged houses. In terms of cash flow, low-income housing can add more income depending of course on how much income does tenants make.
Make sure you get only the best deals from real estate rentals . Check out our directory of rent homes .
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