It has become increasingly difficult for people to find affordable rental properties in Washington, D.C., over the last few years. Rents have spiked dramatically throughout the city, and it has forced some people to look for rental properties in surrounding cities.
If you’re interested in buying real estate to add to your real estate portfolio right now, you might want to consider shopping for it in a place like Bethesda, MD. It’s located less than half an hour from D.C., and it has started to attract renters who might normally look to rent in the D.C. area.
Before you begin buying real estate in Bethesda, MD, though, it’ll be important for you to take the right approach to doing it. You’ll be able to get the most bang for your buck when you understand how to grow your real estate portfolio in this particular area.
Here’s a guide that’ll help you make smart real estate investments in Bethesda, MD.
Make Sure You Understand the Bethesda, MD Market
As we just alluded to, now might be the perfect time to invest in real estate in Bethesda, MD. Rising rents in Washington, D.C. have sent many people scurrying to Bethesda and the surrounding areas.
But that doesn’t mean you should dive headfirst into buying real estate in Bethesda, MD, so that you can add to your real estate portfolio. You should first research the local market to make sure it makes sense for you to invest there.
The median home cost in Bethesda is on the higher side compared to some other communities in Maryland. You should try to get some sense of what sellers are selling real estate in Bethesda for so that you’re able to determine if you can afford to buy in the area at this time.
Find a Reputable Investment Real Estate Agent
If you aren’t super familiar with the local market in Bethesda, MD, it would be worth obtaining help from those who know it best. You should look into hiring an investment real estate agent in the area who can help you explore investment opportunities.
Realtor and broker Brett McCurdy and his team know the area inside and out and can help you get a better understanding of it. They can also talk to you about what you would like to add to your real estate portfolio and show you properties that might work well for you.
Look For Potentially Lucrative Rental Properties
Once you have a trusted investment real estate agent on your side, you can kickstart your search for rental properties in Bethesda, MD. Your goal should ultimately be to find properties that will bring in the most rental income possible each and every month.
In some cases, this will mean shopping for turnkey rental properties that you can start renting out right away. In other instances, it’ll mean searching for rental properties that might need to have some work done to them before you rent them out.
Try not to rush right into buying the first decent investment property you can find. Instead, focus on the ones situated in up-and-coming areas where the rents could increase in the years to come.
Brett McCurdy and his team can help highlight some of the areas like this for you. It’s another good reason to have a great investment real estate agent in your corner.
Work to Buy Investment Properties for the Right Price
When you hone in on an investment property in Bethesda, MD, that you would like to try to buy, it’ll be imperative that you get it for the right price. Crunch the numbers to see what price you’ll need to try to pay for a property to make a consistent profit every month OR satisfies the other aspects of yield if it’s not a cash flowing deal.
Drive a hard bargain when buying real estate in Bethesda, and feel free to walk away from the negotiating table if you aren’t able to get a deal you feel comfortable with.
Consider Making Improvements to Investment Properties
If you purchase a turnkey property that doesn’t need any work at all, you shouldn’t have to make too many improvements to it before renting it out. But if you buy a property that has seen better days on the inside or outside, making improvements to it can offer an excellent property ROI.
Making improvements to investment properties in Bethesda, MD, will obviously cost you some money on the front end. But you should be able to recoup a lot of these costs within the first year or two of owning these properties.
The nicer you’re able to make your rental properties, the more people will be willing to pay for them each month. You’ll also be able to attract better tenants to them and see steadier returns on your initial investments.
Search for Property Management Specialists
Do you want to have to worry about marketing rental properties in Bethesda, MD, and taking care of all the requests your tenants make? Or would you prefer to bring property management specialists on board to help you with these things?
If you only have one or two investment properties in your real estate portfolio, you might fall into the first category. Otherwise, it’ll make a lot of sense to hire property management specialists who can assist you.
Brett McCurdy and his team can do more than just help you find the right investment properties in Bethesda. They can also handle many of your property management and property maintenance needs.
It’ll allow you to sit back and focus on growing your real estate portfolio in Bethesda even more. You won’t have to be as concerned about your day-to-day real estate operations when you have property management specialists taking care of them for you.
Start Growing Your Real Estate Portfolio in Bethesda, MD
It’s a great time for real estate investors to look into purchasing investment properties in Bethesda, MD. We can help you add to your real estate portfolio in Bethesda in 2023 and beyond.
We invite you to schedule a call to learn more about making good real estate investments in Bethesda. We can walk you through the process and put you in the best position possible when buying real estate.
Contact us today to get more information on how we can assist you.