What Type of Roseville Rental Property Is Best for You? - Article Banner

Now that you’ve decided that you’re ready to invest in Roseville real estate, you have an important decision to make: what type of property are you going to buy?

We talk a lot about the importance of investment goals. Yours are unique, and there is no single strategy to choosing the right type of investment property. You need to buy what makes sense to you and your plans. You need to consider your current financial situation. 

Ultimately, you’ll need to decide whether a single-family home, multi-family property or some combination of the two makes the most sense for you. 

Check Your Investment Goals 

Why are you investing and what do you plan to do with the property? Those are the questions you need to answer before you begin looking for opportunities. The type of property that’s right will depend on how long you’re planning to hold it, what kind of vacancy risk you’re willing to tolerate, how much you’re willing to invest in maintenance and renovations, and whether you’re looking for quick cash flow or long-term appreciation.

Decide what you’re really after, and then you’ll know what kind of property makes sense for you.

Single-Family Roseville Rental Homes

Single-family homes are attractive to stable, highly qualified tenants. You’ll also earn higher rents in most cases. Your investment will also appreciate more over time when your asset is a single-family home. 

Think about location when you invest in a single-family home. Tenants will be looking for good schools and proximity to shopping, restaurants, and entertainment.   

One of the challenges to owning single-family homes is that your maintenance costs may be higher. You may have to pay for landscaping, you’ll need to stay on top of pest control, and you will likely find yourself spending more on preventative and routine maintenance simply to avoid those dreaded emergency repairs. 

Multi-Family Roseville Rental Homes

duplex houseA multi-family property can be a duplex, a triplex, or even a small apartment building with a dozen units or more. Investing in a multi-family property often makes sense for new investors because they’re a bit safer. You’ll have more than one tenant in place, which means you have more than one income stream. 

This is the major benefit of investing in multi-family properties; you will have rent coming in from various sources. So, if one unit is vacant, you aren’t losing a lot of money quickly because you still have rental payments coming in from the other units. 

There’s also the economy of scale working in your favor. When you need maintenance or landscaping services, you can contract with a vendor who is likely to provide a discount because of the volume of work you need. You’ll save time and money maintaining a single building with two or three units.  

We think there are excellent reasons to invest in either type of property. You can also do something different like buying a property that you’re going to rent out short-term. Or, you can buy a fourplex and live in one of the units. Anything is possible, depending on your investment goals. 

Our team would be happy to help you evaluate your options and find the right investment or combination of investments. Contact us at Action Properties when you’re ready to invest in Roseville, Rocklin, Loomis, Lincoln, Granite Bay, and the surrounding areas.