You’ve invested in one residential property, and now that you’ve got the hang of things and are starting to see some financial returns, you want to buy a second one. Making a second residential property investment can help you make more money without enduring the learning curve of buying your first. The following tips for your second residential property investment can help the process go smoothly:
- Use the same repair companies—Even if your rental properties are in different areas, use the same repair companies, if possible. This will help you build a solid relationship with the repair companies you use. And you may even be able to receive a discount on certain services for using the same repair companies over and over again.
- Personalize each property—It’s tempting to make a copy of the lease from your first property to use with your second residential property investment, but be wary of doing this – your second unit likely has characteristics that your first does not. Never assume that all properties are created equal and be careful about how you handle the rental process.
- Stay organized—When dealing with different tenants at different properties, organization is the key to success. Keep all your documentation in one easily accessible place and find a system that makes managing rental tasks convenient. You may also want to hire a property management company to support your operations after you have two or more properties to manage.