How Can I Create Rental Income In 2018?
Now is the right time to invest in a residential property to generate some long lasting rental income. However, certain factors need to be kept in mind before you create rental income:
- Place: Do a bit of research to find out which city will yield maximum rental yield. In India, 2% is considered to be average rental yield and cities like Mumbai, Pune, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Ahmedabad and Kolkata offer 2% or more on an average. Having a residential property in any of these cities will guarantee substantial rental income.
- Economic Opportunity: Upcoming cities or even existing ones with better employment opportunities will see a rising demand for rental housing. These cities attract people from different cities, who don’t want to invest immediately in buying a home. Investing in such places shall get you regular tenants and growing rentals over a period of time.
- Locality: Invest in a locality that’s closer to the business hub of the city. This way you not only create rental income, but also a higher one as employees want to live closer to their work places.
- Maintenance: Make sure that your property is well maintained and offers a range of amenities. Such properties always attract tenants and they don’t mind paying higher rent as well for extra facilities.
- Property Prices: The property prices have bottomed out and are set to rise again. That will make buying it a bit difficult for many people and they would be looking for rental accommodations. Investing in a property right now is a sound business decision to create rental income.
The year has just started and this is the best time to invest in the property to make 2018 an asset-income surplus year!