Starting a real estate investing career in New York is much more possible than many aspiring entrepreneurs think. Investing in residential real estate, however, does come with inherent risk. At the same time, risk can lead to reward.
The real estate industry offers hundreds of ways in which to make money. In fact, with an ideal property, it is possible to earn between 15 percent and 40 percent on the money invested in the property. One of the best ways in which to earn money in real estate is through rentals.
Rental homes have the potential to provide steady streams of income for landlords. As a result, they can eventually pay themselves off over time. A particular benefit of owning rental property is that the mortgage interest, as well as the depreciation, can be written off, and owners of rental property also usually do not pay taxes on their rental income. Rental properties can also be used for claiming deductions, including insurance and repairs, for example. Rental property owners simply must be savvy enough to fix issues such as flooded toilets and be prepared to deal with problems such as late rent.
Residential real estate can be a goldmine in the right market and with the right level of expertise when it comes to purchasing homes and renting them out. However, a property deal can easily fail if both sides cannot find common ground when it comes to the purchase agreement. An attorney in New York can help with reviewing and negotiating purchasing agreements so that the best interests and rights of aspiring real estate investors are protected.
Source: realtor.com, “Become a Real Estate Investor With 3 Easy Investments“, Cathie Ericson, May 22, 2017