If you are a landlord and currently only own multi-family rental properties, you might wonder if you should buy some single-family homes to rent too. Offering single-family homes in addition to multi-family units, such as apartments, can be a great addition to your business, and here are some of the benefits this could offer to you.
You can reach a larger market
The first benefit of offering single-family rental homes is that you will be able to reach a larger market with your business. If you only offer apartments, you will be limited to people who want to rent apartments. If you offer single-family homes, you will suddenly have an increase in demand from people you normally could not reach. There are people who only want to rent homes and not apartments. If you do not offer homes for rent, you will lose out on the individuals who want to rent a home.
Single-family homes offer benefits
Secondly, people who are looking for apartments to rent might be willing to view some single-family homes for rent as they search for the right rental unit, and they might be more inclined to rent a single-family home because of the benefits they offer. A home offers a lot more space in many cases and privacy. Homes for rent also offer a better chance of having a yard to use, a garage, and extra storage space. If you show an applicant an apartment and a home, he or she might become more interested in renting the home simply because it offers more benefits than the apartment.
You can make a good profit if you buy the right homes
Finally, if you are cautious with your investments and end up with the right single-family homes to rent out, you can actually make a really good profit from them. The reason is that you can charge more for rent on a house than what you can for an apartment or duplex. If you can charge more when renting a home and if you can purchase homes for low prices, you could easily pay them off with the rental income within a relatively short amount of time, and this is an important factor to consider as you begin looking for properties to purchase.
If you are a landlord and would like to expand your business, you can learn more tips and ideas by contacting a real estate agent for help and advice.