It seems that all of the rental properties that I have bought in the last few months have been ones with problems. This happens from time to time, and no matter how much planning you do before buying a property, there is always the chance that there will be problems.
Trust me on this one. In fact, let me share a story with you.
Two weeks ago I put an offer in on a duplex in an area that I have had my eye on for some time. The good properties in the area are few and far between, so I had been waiting patiently for something to come up for sale that I could snatch up. Like always I made sure to keep my emotions out of my investing, so when I bought the duplex, I thought that I had a winner.
But I had made one mistake – I didn’t do a walkthrough of the property myself. I had one of my employees do it and bought based on their suggestion.
It was a mistake.
As it turned out, the property had some extensive water damage and we had to call in some consultants that specialized in Water Damage Restoration Castic to deal with the issues. They have been working on the property here for a day or two now, and though progress has been made, it is not in a rent-ready state yet. Hopefully we’ll be able to get it out there for rent soon, but in the meantime I learned a valuable lesson: I need to do walkthroughs on my own before buying any new rental properties.
While I don’t have a lot of rental properties in my portfolio, I treasure each and every one of them. They will be the way that I pay for my retirement and I treat each and every one of them as investments. A lot of number crunching goes into picking them out, but I still like to inspect them in-person once we have taken possession of them.
So I found myself out at our latest purchase here today and I couldn’t wipe the smile off my face. I had bought this bungalow because of the amazing curb appeal that I saw in the pictures, and standing there in real-life was a completely different experience.
The place looked good.
While first impressions are important, I wanted to see what the place looked like inside. I knew that this home had some water issues in the past, but one of my favorite water damage restoration Los Angeles companies did the work, so I wasn’t worried about it. In fact, the inside of the home was in better shape than I would have expected, so all we will have to do before we rent it out is a little cleaning and a fresh coat of paint.
Hopefully it won’t take long to get the work done – I’d like to have it rented out by the middle of the month.
Owning rental property comes with some big pros and cons. On one hand, it is an opportunity to make some passive income. Instead of putting in time to make the money, your investment keeps paying you back, month after month. In fact, every time I receive a rent cheque, it puts a smile on my face – it is one of the easiest ways that I have ever found to make money.
But it isn’t always a walk in the park. In fact, our experience this past week with our rental property in Los Angeles has not been a good one. Unfortunately for us, one of the water pipes in the basement of one of our units burst when the tenant were gone on vacation. When they came back, they were greeted with a basement full of water.
Guess who received a phone call about it?
And we had to deal with it.
I knew that we had no clue how to solve the problem, but we needed to get the rental unit back in liveable condition as soon as possible. We contracted a company that specialized in water damage restoration Los Angeles. We had them out to assess the situation and give us a quote on the solution.
We just received the quote today and accepted it, with the plan that the work will commence next week. I’m hoping that we’ll get everything cleaned up quickly.