If you are thinking about investing in Real Estate for the first time, I encourage you to think about the monthly income from the property first.
You need a monthly rent cheque to pay the mortgage, property taxes and property insurance as the basics.
If you take one step back from a monthly rent cheque, you need somebody to give you the rent cheque in exchange for the use of the property.
So perhaps before you run out looking at properties you should give some thought to tenants. Who are they? Where to they live now? What kind of jobs to they have? Where do they work? Are they new to Calgary, or new to Canada, or first time renters, or long time renters? How do you find them? How do you avoid bad tenants? How do you pick the best tenants? How to you treat your tenants after they move in?
For Rent ads and signs attract people that need to rent a place to live. The quality of ads and signs have a direct effect on the quality of tenant applications. You are never obligated to rent to anyone that applies. It’s your choice and the simple answer to anyone you do not want to rent to is “We’ve Decided to Rent to Someone Else”. [Read more…] about First Time Real Estate Investors – It’s About The Income!