-Written by Erica Wiechnik
So you want to invest in a buy and hold income property?
First of all, what is a buy and hold property? Buy and hold real estate is typically a long term investment strategy, where an investor purchases a property and holds on to it for an extended period. The property is not purchased by the owner with the intentions of living in it, but rather to rent it out, cash flow and build equity over time.
A lot of people dream of having passive income, and a buy & hold income property is a great way to achieve that dream. However it’s not as easy as seen on HGTV. A lot of time and energy goes into acquiring and maintaining a rental property to achieving the passive income, but it’s completely worth it. Taking the steps to actually make it happen is where most people get stuck. Where do I start? Why is it hard to find the information condensed in a step by step process? Do I want to be a landlord? And the list goes on. As someone who has personally invested in numerous buy and hold properties, I wanted to touch base on a few of these points to ease peoples uncertainties.
Picture source: Canva.com
WHERE DO I START?
GENERAL STEP BY STEP PROCESS
DO I WANT TO BE A LANDLORD?
This is the toughest part and the answer is not YES for everyone. There is always the option of getting a property management company (which usually charges around 10% of the rent per door) which relieves some stress but also gives you less control. In the years that we have been renting out properties, we have never had bad tenants (knock on wood), so here are some tips and tricks we have learned.
Suite # 717, 203-304 Main Street South
Airdrie, AB T4B 3C3