Benefits of Owning a Rental Property in Orange County
Purchasing a rental property is a great way to diversify your investment portfolio. It's especially beneficial for those that are able to purchase rental properties heading into retirement. Orange County happens to be a great place to consider purchasing a rental property if the time is right for you. Here are some perks of owning a rental property that may or may not sway your decision to purchase an additional property in Orange County.
Homeownership Rates Have Dropped
Since 2009, homeownership rates have dropped 9% nationally. In Orange County specifically, there are actually more renters than owners, with the split hovering around a 52/48. These are great statistics for anyone that is considering the purchase of a rental property in Orange County as more than half the population is renting. And the landscape doesn't appear to be changing anytime soon. Millennials are renting well into their 30’s and even Baby Boomers have started to enter the rental market. That means there’s significant opportunity for you to make a very wise investment, whether you’re heading into retirement or have been waiting to add an investment property to your portfolio.
Passive Income Stream
Having a passive income stream is a wonderful way to set yourself up for the future. Passive income streams are beneficial because it’s recurring income that requires little effort to maintain. A rental property is an attractive option for anyone heading into retirement or anyone that wants to make extra money on the side. Assessing the potential cash flow of a rental property is an important step in determining if it’s the right investment for you. But if the numbers make sense, having a passive income stream from a rental property is going to benefit you down the road.
Flexibility to Sell
One of the great things about owning a rental property is the ability to sell that property at any time. If you’re wanting to sell, but the market isn’t in a place where you would make a profit from your initial investment, you can rent out the property until the market rebounds. You have options, which is not necessarily something that you get with other types of investments.
Your Mortgage Gets Paid for You
This is probably one of the biggest perks of being a rental property owner. When you purchase a rental property you’re going to put up the initial investment. But when you start renting the place out, not only are you going to have a passive income stream that generates recurring cash flow, but you’re also letting someone else amortize your mortgage for you. It doesn’t get better than that. As long as you maintain your property properly, your property values should increase over the life of your investment. That means when it’s time for you to liquidate that asset, you ‘ll have had most of your investment paid by someone else.
Purchase a Rental Property in Orange County
Orange County is the perfect place to purchase a rental property. With the amount of renters in Orange County paired with the beautiful properties available, this is one of the best areas to purchase an investment property. If you want to discuss your options or talk through the process of purchasing a rental property, I want to be the person that helps you. Contact me today to find the perfect rental property to invest in.
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