A common question home owners and investors ask is, "What is the best type of rental property one could invest in?" Though there is no clear cut answer, of course, it depends on investment goals, cash flow, personal preference, etc.
The type of investment home that is best can also depend on the specific area - in some areas of Tucson, multi family construction homes are ideal, and in other areas, SFR are more attractive.
Below is a chart of November numbers for the types of rental homes for the Tucson market and the average rent amount:
Patio Homes and Single Family residences clearly generate the best rental income right now in the Tucson market.
What is the major difference between a patio home and a SFR? Patio homes have a connecting wall and traditionally just a back patio with no yard. Here are some other patio home characteristics:
- Are usually built with 2, 3 or 4 homes per building instead of the continuous row of homes (as with townhomes).
- HOA often covers roof replacement, exterior maintenance, landscape maintenance, common area maintenance, and other expenses
- Ideal for vacation homes
- Commonly includes amenities such as a community pool
Though the numbers on a chart give a good indication of what a home might rent for, it is best to hire an experienced property manager to help with the most update and accurate information for today's rental market.
This blog is written with my opinions and my opinions are presented with accuracy but not guarantees. Please talk to a professional before making any real estate, financial or agency decisions. Gabrielle Kamahele Rhind - 2014. If you want to reprint parts of this - just email me for my permission: KGCProperties@gmail.com .