Essex is a small town, but it has a lot to offer.
Beach access and historic interest mean property in Essex retains its value. Once government revitalization plans are underway, Essex should see a steady growth in property value and population. Investors should get in now while mortgage rates are low.
Additional benefits to investing in property in Essex include:
- Financial Security
Owning real estate gives you a feeling of safety knowing you have options during uncertain financial times. Pad your bank account with the passive income generated from rentals.
- Pay Your Mortgage Without Touching Your Money
Rental income can be used towards your mortgage. Within 15-20 years, you can own your property free of debt without ever having to use your personal money.
- Build Equity
The housing market is climbing back after hitting bottom several years ago. This means property can be bought now at lower prices and will quickly appreciate. Inherent property value, like being near the waterfront in Essex, in addition to aesthetic improvements, will quicken appreciation.
- Tax-Free Cash Flow
You can expect a steady cash flow when you rent out property, especially if you have more than one unit. Use income to pay mortgages, expenses, and bolster your primary income. Most of your income can be written off in some way, as well. In addition to long-term taxes, landlords can also write off smaller expenses like travel and repairs.
Individual Management versus Property Management in Essex
Property management companies offer landlords many benefits to make their lives easier. Dealing with rental properties can be a huge hassle, especially if you have more than one.
These are some of the problems landlords may run into and how a property management company can avoid them:
- Tenants not paying rent. When tenants do not pay their rent, you do not just lose money. You lose time having to chase after them, and you may run into legal issues if tenants cause further problems. Property management companies aggressively pre-screen all candidates before they offer them a lease to ensure your tenants have good rental history and acceptable income. These companies also know all the tenant/landlord laws and provide the appropriate legal documents.
- Maintenance issues. If the sink breaks in one of your units or the ceiling falls in, do you know how to bring everything back up to code? Do you have the time to research contractors? Property management companies provide routine maintenance and repairs, including move-in/move-out cleaning. In the event large repairs are needed, management companies have a group of licensed contractors ready to respond quickly.
- Long vacancies. When a tenant moves out, there is a period of time where the unit sits vacant, costing you money. If you are managing the unit on your own, you will have to invest time into searching for, marketing to, and screening tenants to fill the vacancy. Property management companies provide these services for you, and they do it well. They have a network of resources for marketing, and they know the area and what kind of tenants fit best. They also ensure your tenants are happy and want to stay longer by providing efficient service and clean, safe homes. Happy tenants who want to stay longer help you avoid the vacancy issue from the start.
Why Choose Bay Management Group?
Bay Management knows that Essex is a small town soon to be rapidly developed, and can help you find the places that will get you a great ROI. We market our properties using a network of websites, locators, and tenant placement services.Bay Management offers full service property management. In addition to finding great tenants, we provide move-in and move-out reports so you can keep track of the condition of your real estate. Bay Management also offers monthly financial statements reflecting your income and expenses for all properties.