After a hot start to 2023, the end of the year has been showing the some promise in the real estate market in Southwest Florida... and we couldn't be more excited. It is no secret that buying a home is one of the best financial investments one can make. Not only for a primary residence, either, but for purchasing a second home for passive rental income, as well. Some folks that have had a rough couple of years could strongly benefit from this. Others who have been financially unchanged can also benefit. Those who wisely invest in the real estate market often come out on top. The extra money per month isn’t the only positive trait of investment properties either. There are an abundance of reasons purchasing a second income is a great move to make in 2024.
The declining interest rates are expected to continue leveling through 2024. This is great news for home buyers looking to buy this coming spring, or even summer. t's best to keep an eye on the southwest Florida market over the coming weeks.
Obtaining passive income through real estate investing is not something that can be done overnight. However, even a beginner can make plenty of extra money right out of the starting gate. The best advice is to contact your real estate agent to see how they can guide you through the process and they can further explain the benefits of a rental property, as there are many intricacies to the process.
One of the most important parts of real estate investing is how you manage the property. You can live next door to your property, in the property itself, or mile away if you so choose. You’re able to check in and make sure everything is running smooth, complete maintenance tasks, minor repair, and the best part is being able to easily collect rent money. You can even claim tax write-offs for a lot of the property's expenses, which can be highly beneficial for new investors.
The sky is the limit when you're getting new income from real estate! Not only are you able to gain rent money, but the value of the property will naturally appreciate. Similar to stocks: Stocks go up, stocks go down. However, unlike stocks, real estate is not volatile and it’s a fun investment! Unlike cars, or almost every other tangible asset you own, real estate almost never depreciates. The value of your investment home (9 times out of 10) will continue to rise year over year.
The single greatest thing in our opinion about real estate investing is that your principal amount on your mortgage amount will go down year after year—and you’re tenants are making that happen! Whoever is occupying your property is paying you rent that is paying off your mortgage.
So, does it sound like investing in a rental property in 2024 is in the cards for you? If you’re new to the game, or a seasoned veteran, we encourage you to contact your real estate agent to see how you can get into real estate investing!Posted by Andree Huffine, Sarasota Realtor on