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Purchasing an investment property to rent it out can be a great way to earn some substantial income. There are, of course, numerous caveats, because it’s not simply a matter of buying any old place, installing a tenant, and expecting everything to run itself. It’s quite a lot of work, which is why smart investors hand over the day-to-day running to a professional property manager. If you, like many other savvy investors, are planning to purchase a house or apartment in the thriving city of Rochester, NY, you’ve already ticked off the most important item on your investing success to-do list: a great location. Rochester NY property management professionals say there are few places in the country that offer more appeal to investors, with its excellent standard of living, employment opportunities, great infrastructure, and qualified tenants looking for a home. Assuming you’ve purchased a house or apartment and put a Rochester NY property management company in charge, you have another pressing decision to make: will you rent out the property furnished or unfurnished? There are pros and cons for both situations. Letting Furnished Furnished houses or apartments are often popular with short-term renters or people using the property as a second home, for work or leisure purposes. Pros You can often charge a higher rent, with luxury furnished properties appealing to a high-end market who don’t mind paying for the convenience. Some people don’t want the expense of purchasing their own furniture (particularly white goods). There are certain tax benefits in claiming for depreciation deductions on furnishings (but do your research on this first). Cons Having short term leases means more management costs and high risk of the property being empty in between. The initial outlay can be substantial and, in addition, you’ll need to replace many items every few years. You’ll be bound by the terms of the lease to repair or replace “like for like”, if items are not fit for purpose through wear or tear and no fault of the tenant. Letting Unfurnished The great majority of tenants prefer to rent unfurnished, as they have their own furniture and they want their home to reflect their personal taste. There is often the perception that rental furniture is of a lower quality, which is not necessarily true, but a landlord needs to be more concerned with durability than esthetics. Pros Attracts long term tenants and allows them to put their own stamp on the house or apartment. Long term leases equal less management costs and less stress regarding vacancies. No outlay to purchase furnishings and no requirement to upkeep or replace. You have the option to offer it partly furnished by installing white goods like fridge, freezer, washing machine, etc — which will allow you to charge more rent. Cons You won’t attract the “fly-in/fly-out” demographic, or executives looking for a second residence. You won’t be able to charge the premium rent that furnished properties can attract. Make an Informed Decision Every investor has their own agenda and expectations, so the decision must be based on the individual situation. Speaking to Rochester NY property management professionals before you decide either way will give you a better insight if you’re unsure which way to go. They understand exactly what the local market demands and supports, so will be able to help you make an informed decision. Author Plate Danny Torres is from Torres Turn Key, a property management company in Rochester NY with more than ten years’ experience providing a holistic service for both domestic and international investors. When it comes to Rochester NY property management investors can rest assured they are in good hands with us. The city is one of the most exciting places to invest in both commercial and residential properties and the company brings together a host of experience and specialist knowledge to build long-term relationships and create maximum value and benefit for their customers.
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Rochester, NY, property, management,
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