Buying a house to rent is a good investment. Its profitability is more attractive than other options such as the 10-year State Bonds, but even so, some hesitate for fear of encountering delinquent tenants. What if you could secure a profitable and quiet rental? Keep reading …
A Profitable Rental
According to the Bank of USA, financial district apartments for rent is a more profitable investment than 10-year State Bonds or deposits from households and non-profit institutions (ISFLSH).
You just have to look at the numbers. Gross rental yield was 3.8% in the fourth quarter of 2019, while bonds stood at 0.5% and deposits at 0.1%. All according to the Housing Market Indicators of the Bank of Spain, which, in March 2020, only highlighted the IBEX-35 (11.8%) as a more attractive option than renting homes.
But that is not all. There is another return. It is about the revaluation of the house. Its price always tends to rise. There may be short-term oscillations due to market fluctuations, but in the long term, the price of a flat always goes up.
Any saver who adds both factors will have the same result: buying a flat to rent is a safe and attractive investment.
A Quiet Rental
Every landlord wants to have a quiet rental. He wants a responsible tenant and few incidents. Of course, if he must make the necessary repairs to keep the house habitable, he will do it, but that is the usual thing in a rental.
And the tenant? Finding the right person is key to achieving that balance that the landlord aspires to. We have just that: serious tenants, economically solvent and willing to take care of the house as if it were their own. Moreover, the house is, in part, yours.
Tenants are people who want their own home, but have not yet saved enough to buy it with a mortgage. They allows them to buy a piece with the money they already have. The rest is provided by an investor who becomes their landlord, charging them rent for their share of the property.
If you are interested in investing in residential rental, we offer you the possibility of buying the house in co-ownership with your tenant. You put up to 95% of the cost of the operation and the tenant contributes the rest. You are co-owners and you rent your part of the house at market price.
The tenant can buy your part gradually or, all at once, when they have access to a mortgage that allows it. In addition, he will pay you at market price so you will obtain additional returns to those of the rental. You will recover your investment and you can continue buying real estate company like nyrentownsell.com if you wish.
You don’t have to worry about paperwork because they takes care of everything for you, making sure that all current legislation is complied with and the rights and duties of both parties are respected.
The model has great advantages:
- Immediate Rental
When you buy the house jointly with your tenant, you will collect your rent from the first day of the sale.
- trusted Tenant
Responsible: Selects all the tenants who buy houses with investors to ensure their seriousness and solvency.
Solvent: your tenant has a solid and sufficient source of income to meet the rent. In addition, the fact that the tenant invests his savings by buying part of the house demonstrates both his ability to save and his commitment to the operation.
Careful: the tenants have a vocation as owners, in fact, from the first day they are co-owners of the house. Therefore, they have a greater incentive when it comes to caring for and maintaining the home.
- Stable Rental
Since the interest of the tenant is to end up buying the entire home, you will not have to worry about having to look for new tenants every so often and you will have the peace of mind of having a stable tenant for years.
- Professional Management
Offers you professional management of the apartment for rent to resolve all incidents and management of repairs that may arise during the rental and you do not have to worry about day-to-day management.