If you have recently inherited some money or you have been saving for a long time and are looking for a safe investment opportunity, investing in a rental property may be a good option.
If you are living in the New York City area, you may want to see how you can get an investment property in NYC. The only problem is properties in NYC are extremely expensive — and your pockets aren’t that deep. There are two options to investing in NYC real estate without outright purchasing the property, however: Turnkey properties and real estate investment trusts.
What are turnkey properties?
Turnkey properties offer an exciting investment opportunity where you do not have to do much on your own. Basically, you hire a company to find properties for you that are available to be purchased and then rented out immediately.
Once the property is yours, and you have a renter, you can hire a property management company to take care of maintenance and collect rent on your behalf. Though the rental company cuts into your profit, you will not have to worry about anything other than paying your taxes and collecting monthly checks.
What are real estate investment trusts?
To invest in a REIT, you do not even have to live anywhere near NYC. You could live in Rochester or Buffalo and own a share in a commercial or residential property in NYC.
Shares in a REIT are traded like ordinary stocks. These shares also produce dividends just like normal stocks as REITs are required to distribute 90% of their taxable income annually through these dividend payments.
New York City is one of the most famous cities in the world. If you are looking for an investment opportunity, you may want to seek some assistance before making any substantial purchases or investments. This is particularly true when you’re a first-time investor and you need to protect your money.