Investment properties are houses that are not used as a primary residence by the owner but to generate income. They are defined as properties that are purchased to earn a return on investment either through rent, future sale of the property, or both.
Are you also looking to buy an investment property in Calgary? There are multiple options of Condos Townhomes for Sale in SW Calgary. However, knowing what to look for in an investment property will help you make a profitable choice.
Below are top things that you should consider before buying Condos Townhomes for sale in SW Calgary as an investment:
● Location of the property:
Prospective tenants prefer houses that are located close to amenities and offer easy accessibility to schools and hospitals. It is also an added advantage if there are restaurants and shopping centers around the house. Thus, it is important to choose a house in an area that offers all facilities that tenants may be looking for.
● Employment opportunities in the neighborhood:
Many people underestimate the importance of a growing job market around a property. Naturally, more people will move to an area with abundant job opportunities. This will increase the demand for your house in the area.
● Condo fees:
If you plan to invest in a condominium in Calgary, you need to pay attention to the condo fees. Knowing the condo fees and their inclusions beforehand will help you avoid any unnecessary costs.
● Average rent in the area:
It is of utmost importance to research the average house rent in the area you are considering. If the rent covers the mortgage payment along with property taxes and insurance fees, it is a good idea to buy a house in that area.
● Crime rate:
Safety is an important factor that most prospective tenants will value. Neighborhoods with high crime rates do not attract as many renters as the safe areas. Look up the crime rates online on Statistics Canada to decide if it is a wise move to buy a house in a certain vicinity.
● Proximity to schools:
This is a very important consideration. Renters with kids always prefer to rent a house near good schools. An investment property in a good school district is a wise investment that will yield profitable results.
● Availability of houses for rent:
Rental income is higher if there are only a few houses available for rent. Analyze the past and current vacancy rates to assess if you will attract good rental income by buying a house in the area.
● Availability of home insurance:
It is difficult to get home insurance in some areas such as floor or floodplain zones. You must avoid buying a home there. An insurance agent will be able to research and guide you better on this aspect.
● Development prospects in the area:
Find out about the future development plans of the neighborhood you are considering and assess how they will impact your property. Take a decision based on that.
Investing in Condos Townhomes for sale in SW Calgary
If you are looking for an investment property that is easy to manage, a Condo or a townhome is your best bet. Most condominiums will take care of the maintenance of common areas for a fee. This will spare you the responsibility of maintaining the house. However, research the rules well to avoid any unnecessary expenses later.
If you have decided to buy one of the Condos townhomes for sale in SW Calgary, it is a good idea to get in touch with a premium builder in the area who will help you choose the right investment property.
We at RareBuilt Homes Ltd. are one of the best builders in the area and will help you find an investment property keeping all the above aspects in mind. We will help you understand the rental market and ensure that you get the best returns on your investment. Contact us to know more.