Ormond Beach is an excellent market for investors. Compared to other coastal cities up and down the Atlantic Coast, home prices are reasonable, and there’s some good money to be made on a rental property here.
Even better is investing in multiple properties. Investors can easily put together a diverse portfolio of investment homes in Ormond Beach. Our market has single-family homes in established neighborhoods, new construction multi-family buildings with a lot of units, short-term vacation homes, and everything in between.
Owning more than one property in this market comes with multiple benefits, and we’re exploring them in today’s blog.
Diversify Your Ormond Beach Investments with Single-Family and Multi-Family Properties
Single-family homes are always going to make great investments, especially when you’re buying rental property in Ormond Beach. Tenants are willing to pay higher rents for the space and privacy that come with single-family homes, especially luxury homes on the beach or with upgraded amenities. If you invest in a collection of these properties that are well-maintained and in a desirable location, you can earn some excellent rental income and build a solid schedule of returns on those investments.
Single-family homes will also appreciate quickly, and you’ll find that the value of your asset climbs reliably year after year.
Investors should also consider multi-family purchases. There are many ways that this can help you earn more with your rental portfolio. Multi-family buildings and the units they possess will provide more income for you and less risk. Instead of collecting one rental payment every month, you’ll collect two or three or four or more. This protects you against vacancy risks. If one unit is vacant, you still have income from the other units.
Lower risk and higher cash flow are excellent reason to invest in both multi-family homes as well as single-family homes. Buy in different neighborhoods and buildings, and see which properties perform best. It’s a great way to buy multiple properties in Ormond Beach and reap the benefits.
More Buying Power Equals More Borrowing Power
Another great reason to buy more than one Ormond Beach rental property is that you can get creative with your financing options. Some investors prefer to pay in cash and others like to leverage their investments with a traditional mortgage. Owning more than one rental property will make you a better credit risk. It also gives you more access to equity and cash if you need it.
Look for different ways to finance more than one investment property purchase. Smart investors will find new ways to borrow money, and it’s even better when you can structure your deals so you’re not losing cash on a large down payment. Good financing will increase your cash flow and raise your ROI.
There are other options, such as a 1031 exchange when you’re ready to buy more than one rental property and can let go of something you currently own.
The Ormond Beach rental market provides investors with a lot of opportunities, and we want you to maximize what you can earn in this region. For more information about investing in our market, please contact us at Oceans Luxury Realty.