There have been a lot of people that we have met over the past number of months that are looking to either pay their first rental property or they think they found a GREAT DEAL!
There are plenty of areas around the greater Atlanta area to find a good property to purchase but, here are some common mistakes to avoid.
- Understand what the home needs. A lot of areas around Atlanta and throughout southern Georgia offer some great opportunities but, the homes need some work. Contractors in these areas are booked solid, they have so much work that they are charging top dollar right now and getting it as well. This is something to consider as your new purchase if it needs anything major done might take longer than originally expected in order start producing you money.
- Understand the town, some parts of Georgia offer great value but old construction. The most common problem in these areas even if you are purchasing something that has already been renovated a major issue could be the plumbing from the house to the sewer. In some areas those connections are still with cast iron pipes which can corrode or rust entirely which can be a massive investment to fix.
- Understand the quality of tenant in the area you are purchasing in. A lot of times with COVID we have had a lot about owners that have had problems collecting rents. They immediately believe that either themselves or the property management company is at fault. This might not be the case, areas that provide higher levels of public assistance tenants will look towards those programs to help make their bills whole which is subject to delays due to processing. Areas of lessor property values are more than likely to see this type of situation for example Macon or Warner Robbins.
Ultimately it is a great time to buy and investment there are just a few things to think about before you make your decision!