I see some great deals on homes in the west allis area. I'm thinking about buying a single family home in the 76th and Beloit area as an

Asked by Packman, West Allis, WI Sun Jan 29, 2012

investment to rent out. My concern is that since I see so many homes for sale and for rent in the area, can I find a good renter for a house in this location? looking for $800-$850 mo.

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Bob Haglund, Agent, Glendale, WI
Mon Jan 30, 2012
A lot of the issues wyou need to consider have been addressed. Also consider cash reserves to keep up with expenses that will be on-going or occur from time to time. Also, will you be the person managing the property? Will you take the calls and be the one to respond in the middlle of the night? Many other investors consider these in addition to financial aspects such ar rate of return, cap rate; etc. There are still lots of people in need to rent and is a good tme to buy! Good luck.
0 votes
Troy J Chowa…, , Hales Corners, WI
Sun Jan 29, 2012
Packman
Great Question and there is more than one way to look at this. First, consider the long term outlook, now is a great time to buy as interest rates are low and money is cheap. Many sources are suggesting that this year prices in the Milwaukee area will be flat and next year prices will start to increase. In the short term the rental market has been strong. Many people that lost their homes or don't qualify for a loan want to live in a house and not an apartment. As long as you are priced right and offer a quality property you should be able to find a tenant. Make sure you do all your due diligence so you set yourself up for the best chance of succes. Have you called the other properties in the area that are for rent to find out if $800-$850 is feasible? Have you determined all your acquisition costs including repairs? Have you spoken to a lender to find out all the requirements (non-owner occupied property financing follows different guidelines than owner occupied purchases) Investing always has its risks so make sure you have realistic expectations. Work with a Realtor that has experience with owning rental property and being a landlord. Anyone can sell you a property but being able to ask questions and get advise from someone that is "in the trenches" will be a big help especially if this is your first time making this type of purchase. If you have any questions please feel free to call or email me.
Troy Chowanec
RE/MAX Realty 100
Troy@Chowanec.com
414-525-4083
0 votes
Dan Grunwaldt, Agent, Milwaukee, WI
Sun Jan 29, 2012
It depends on what you are looking for. In general the larger the property (more units), the better the cash flow will be. Competition from owner occupants on single families and duplexes is the main reason. Single families can be easier to manage but wear and tear may be higher, since they attract more pets and larger families. Rents of $800-$850 are easily attainable. Sifting through prospects for good tenants is another matter. It is part art and part science. Even the most experienced landlord gets the occasional bad tenant. I owned 18 units myself at one time and in the past few years have had about 30 tenants in my listings. Most of them borderline acceptable. I've had plenty of neighbor complaints. With rates good and prices low and most other investments producing low returns, it's likely a good bet if you are in it for the long run.
Dan 414 688-8929
0 votes
Eric D Lenz, Agent, Greendale, WI
Sun Jan 29, 2012
There are many (good) people that have damaged credit and cannot buy due to the economy, but they want to live in a house so it is a good time to own a house to rent! The demand is strong. $850 is on the low end for house rentals.
0 votes
Chris Novak, Agent, Brookfield, WI
Sun Jan 29, 2012
It is a great time to buy a home in West Allis! Looking around, there are a lot of deals!!!!
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