Rentals in Maryland can be a great opportunity for real estate investors. So, if you’ve been wanting to invest in rental properties or become a property owner in Maryland, we have some exciting news for you. Now is a great time to make your dreams happen!
More and more people are opting to rent rather than own due to the high costs of home ownership, the desire to change location frequently, and various other reasons. On top of that, millennials and Gen Z have abstained from homeownership longer than previous generations did at their age, so many in these cohorts are looking for rental properties.
However, that doesn’t mean real estate investors can just start investing in random rental properties and expect to become an overnight success. Some markets are much more lucrative than others. So, real estate investors need to pick the most lucrative markets, like Maryland, to start and run a highly profitable rental property business.
Now, you may be wondering why 2024 is such a good time for real estate investors to buy Maryland real estate investment properties. Well, as one of the area’s leading Baltimore property management companies, we have the intel!
Why It’s a Great Time for You to Become a Maryland Landlord
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Data shows that Maryland is currently a great place to invest.
Real estate investors have singled out long-term rental properties as a key method to make money in the Maryland real estate market. Recent research showed that Maryland has an exponentially high annual gross rental yield, 28.4% higher than the national average. Even better, Baltimore, Maryland has been recognized as one of the top 20 locations to capitalize on real estate investment properties in 2024.
On top of that, you can invest in rental properties in college towns like Baltimore City, Towson, or College Park. This is an attractive market for landlords because young people attending school often prefer to rent rather than buy.
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Rental properties help you diversify your income streams.
Think about it. What would happen if you suddenly lost your day job or one of your main income streams? Chances are, you’d take a huge financial blow. You might even struggle to pay your bills if you were fully dependent on the income stream you lost.
That’s why it’s smart to diversify your income streams by buying Maryland real estate investment properties.
When you invest in rental properties, you gain a new source of income. Not only does that enable you to make more money – but it also allows you to gain peace of mind knowing that you can get by financially, even if you lose one of your income streams.
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You can save for retirement (or something else!).
When you own a profitable rental property business, you don’t have to rely solely on your 401K account to start saving for retirement. You can raise your rent as your property values increase over time to build long-term wealth and ensure you have plenty of money to retire on.
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Rental properties tend to be stable, depression-resistant investments.
Even when the economy is struggling, people need a place to live. And when times get tough, they probably aren’t going to want to splurge on a mortgage – they’re going to rent instead.
Of course, it’s not foolproof to capitalize on real estate investment properties. You must be careful about the tenants and rental properties you choose if you want to make it work. But once you learn how to do that, there’s a good chance you’ll have a stable source of income for a long time!
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You can become completely self-employed.
Maybe you’re thinking about becoming a landlord because you want to quit your day job. You dream of the freedom associated with being self-employed, and you’re ready to become your boss.
Becoming a real estate investor can indeed allow you to do that. When you run a rental property business, you get to call the shots in every aspect of your business. Self-employment also gives you personal freedoms, like the ability to set your work schedule and vacation dates.
Of course, you won’t be able to take a vacation any time you want – you’ll still need to get organized and set regular work hours so you can take care of your tenants and properties unless you hire a property manager to run your rental property business for you.
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You become exposed to new networking opportunities.
You’ve probably heard this saying before: “It’s not what you know – it’s who you know.”
That certainly seems to be true in the business world. Often, you can majorly benefit from utilizing your connections and social networks. Fortunately, when people become real estate investors, they can meet all kinds of new people, like bankers, real estate agents, and tenants who may have further professional connections you can benefit from.
So, if you decide to take the plunge into real estate investment properties, get ready to start networking and make the most of every opportunity. Who knows – you might just find yourself connecting with someone who can help you make your rental property business more profitable than ever!
Make Real Estate Investment Properties Your Passive Income
Don’t get us wrong. Owning a rental property business can be a demanding, grueling job if you go to it alone. You cannot simply purchase rental properties and collect a check every month. You have to handle maintenance and other tenant requests, deal with late rent payments, screen tenants properly, advertise your rental properties effectively, and more if you want to be successful.
However, you can turn your Maryland real estate investment properties into a source of semi-passive income by hiring an experienced property manager. When real estate investors like you hire property managers, they’ll relieve you of stressful, unwanted landlord tasks that take up your days. So, you can take a more “hands-off” approach to your rental property business.
To learn more about how Maryland property management can help your business grow, contact Bay Property Management Group today.
