Apartments for rent are not new investment channels. A lot of people in big cities have been "healthy" by investing their money in this channel. That may be renting a room, buying a small apartment for rent, buying a house front and then leasing business ...

Because it is not new, many people also think that there is nothing to worry about, if you have money, just buy an apartment and rent, the month of payment is ... done. However, if you have not been familiar with the field, note the following:


1. Investments Apartment for rent is not for everyone


Apartments for rent have their own characteristics, with issues of management, troubleshooting, maintenance, cosmetic insurance, finding short-term, long-term customers, working with many customers at the same time. .. The question to ask here is: "Whether indirect or direct, are you suitable to handle all of the above?".

View more: apartment for rent in Ho Chi Minh city at Rentapartment Agency

2. You are buying a future income or cash flow when you buy an Investment Rental Apartment


In other words, what you pay for an existing property is the decision to invest in the future, the most accurate expression of the value of the investment is the cash flow generated from the apartment for rent. A wrong choice in the first stage will make you pay later. Therefore, you must have a long-term vision to make an informed investment decision.

3. "Perfect couple" position and value


This is to emphasize clearly that the location of the Apartment will carry in itself the success determinant of seeking profit from your investment. Owning the "golden" or "goldenized" land plots, such as a good location in potential areas of rapid growth in the future, means that you are taking a big and positive step forward. in improving the value of Apartments for rent.

Good location of the first apartment must be in an area with convenient transport infrastructure, close to hospitals, schools, supermarkets, markets, entertainment areas, commercial ... And because it is an investment with Rental purposes, so to be safe, you can choose Apartments in areas with vibrant rental markets. For example in Ho Chi Minh City, it is Phu My Hung, District 2, Tan Binh …

Of course, in cities, there is a strong demand for rental housing, the ability to buy rental housing in a densely populated area is always highly available for rent, but you need to take into account the price of the rental. If the apartment is intended to be a townhouse or villa, you should consider the size of the existing residential area. The higher the population density of the area, the better the rental capacity. Choose a prime location, so decide the success of the investment rate Apartment for rent.

For apartments that are part of a large-scale project or an area with a high population density, note that the bigger the apartment is in the larger project, the more apartments will be easy to rent, because it is easier to attract. Services formed in the same building. You should choose Completed apartment, can rent immediately to increase investment efficiency. It is also possible to choose an apartment building under construction, but it is not allowed to choose projects that are behind schedule, prioritize projects near home delivery and get paid slowly.

If you plan to invest in townhouses and villas, you should not choose assets that need additional capital to repair, adjust or rebuild, as this increases the time, misses the opportunity to rent and take benefit. As for adjacent houses or villas, you should also choose Apartments located in areas with many houses, busy.


4. Do not underestimate the importance of financial leverage in investment.


Using financial leverage means you borrow more money together with the money you have available to invest. A high proportion loan means you use large leverage. If you know the right opportunity and the right decision, the financial leverage will help you own the apartments that bring high profits in the future; On the contrary, this becomes a burden of debt.


This is a borrowing problem, so if you use the method of raising loans, you have to find your own solution in each specific case. To be safe, financial experts recommend that you should not borrow more than 30% of the total value of the investment apartment.

5. The best and safest start is to invest in an Apartment for rent

Residential apartments can be apartments, mini-apartments, townhouses, etc., which are characterized by relatively lower values ​​than commercial, industrial and resort apartments ... and have a fairly simple buying procedure. Simplified. More importantly, the problem of managing apartments and customers is easier than most other types of rental properties. This is an attractive investment.



Apartment for rent in district 2 : View here

6. The increase in size and complexity of apartments for rent makes it more attractive


Financial options for large buildings, commercial areas, industry, tourism ... require a large capital and accept other pressures such as management, maintenance, customers ...

The result that professional apartment investors gain from investing in these projects is a high overall profit, because the rental value from these apartments is quite high and stable due to

7. Make real estate investments when you are knowledgeable


As with all forms of investment, don't invest in areas that you don't understand. "Knowing we know us" is a safe strategy for investors, so make your own judgment about your understanding to make sound decisions.

 Related post: How to Improve Your Chances of Renting an Apartment

So have you ever invested in rental properties "beyond your own knowledge"? Only when you have really found someone who knows a lot about the real estate market in that area and you have found a great property manager.