Should Rent Be a Revenue Stream for You?

Physician's Money Digest, May 2007, Volume 14, Issue 5

Doctors who are thinking of rentingproperty may find it to be a lucrativeinvestment, but should be aware of thepitfalls. The subprime mortgage crisis hasmade it harder for those with low creditscores to secure loans. Therefore, thosewho could once afford to buy no longerhave that option and rental properties arein greater demand. Although this is drivingthe cost of rent up, you need to make sureyour rental is priced appropriately so it isnot sitting vacant and preventing a positivemonthly cashflow.

Novice landlords may want to consultreal estate pros who know the local rentrates. Experienced property managers canalso be retained to set rates, find tenants,and handle evictions. It helps to have atrusted handyman at your disposal to keepup with repairs to attract quality tenants.