Understanding the possibilities available to you as a real estate investor will allow you to diversify your portfolio. As an investor, your job is to continually seek a balance to cover any short-fallings of your investments in any given area of the real estate market. By spreading your investments across various types of properties, you improve your future earnings. Keeping on top of your investment game requires laying out both a short and long term plan. It is essential as an investor to be paying attention to trends and market changes. Your dedication to your investment business will bring the highest return on your investment dollar, which equates to the level of passive income you earn over the long term. Today we will investigate these five rock-solid ways to grow your Detroit real estate portfolio in 2021.
Land can be a great way to grow your Detroit real estate portfolio. While vacant land may not be your first go to, don’t discount this type of property’s potential. There are several ways that land can produce income. If your land is on a major roadway, it can earn you a tidy sum by renting the space seasonally to traveling vendors, such as Christmas trees or fireworks tents. You could lease the land for local garden space, and if your tract of land is large, you could offer outdoor storage. Depending on your location, you could create a campground, fishing camp, or lease the land to hunters. You could also use the land to raise livestock.
Buying and Holding Housing Units
Houses and multifamily units, those with two or more units, can produce monthly income while growing your Detroit real estate portfolio. You can take advantage of multifamily housing by living in one of the rental units, commonly known as house hacking. Mortgage rates are lower, as the financing will be for a primary residence. Additionally, you won’t be making any housing payments, meaning more rental income is available for investments to enhance your portfolio further.
In general, mobile homes are a lower-cost way for new investors to gain ground. Mobile homes make for an excellent starter investment or the beginning of growing your Detroit real estate portfolio with additional rental units. You could also offer to finance the mobile home for a buyer, holding the property until the tenants have fulfilled their lease terms for purchase. Should they fail to do so, you’ll keep all of the monies collected as well as your property.
Commercial Real Estate
Commercial real estate can be an exciting way to grow your Detroit real estate portfolio. Not only will you continue to earn income through the building’s operation, but you will also have the power to make adjustments that are in line with inflation by creating incremental rental increases. In addition to your rental income, you’ll also gain equity as your commercial property appreciates.
Working With Sell Inherited House Detroit
The most rock-solid way of all to grow your Detroit real estate portfolio is by working side by side with Sell Inherited House Detroit laying out a plan for success! Our passion at Sell Inherited House Detroit is to help you fulfill your short term goals while building your real estate portfolio. At Sell Inherited House Detroit, we stop and take the time to listen to your obstacles and your dreams. If your retirement bucket list requires long-term passive income, working with the guidance of Sell Inherited House Detroit means you can look forward to enjoying your golden years in style. Why not reach out today to start building a better tomorrow for yourself? Send us a message or call Sell Inherited House Detroit at (248) 460-1606 to learn more about building your real estate portfolio!