Many property owners struggle in deciding between buying a house and buying an apartment. While both hold considerable advantages, an apartment could be a wiser choice. This is especially true if you are looking for a way to generate passive income by renting out the properties you own. Investing in an apartment could be a great way to add value to your property portfolio, providing you with innumerable benefits. There are some ways they can do these, most of which we have listed out here for your benefit.
They are easy to maintain
Compared to a house, an apartment is much easier to manage. That is because they not only cover less space but also because most apartment blocks have a maintenance facility that will assist you as and when the need arises.
You can rent them out
When you rent out an apartment unit, the tenants will take care of the apartment. You do not need to worry about the upkeep of the apartment. As a result, you not only generate income but also can lift the enormous burden of maintaining the property off your shoulders.
Including an apartment to your property portfolio ensures that you have an alternative, additional source of revenue. Some apartments also have fixed and guaranteed rental income provisions. For example, serviced apartments guarantee a 5-6% rent irrespective of whether or not someone is renting it.
Add value to your investment property portfolio
Apartments are a great source of profit when you rent them out, making them a great addition to any investment property portfolio.
If you choose to sell it in the future, it could yield a price much better than the one you bought it for, depending on the location and the amenities. If you were to invest in pre-sold apartments, you could again benefit from considerable profits that will go easy on your bank accounts.
Apartments are quite the catch, and investing in one is bound to help you in the long run, whether you intend to stay in it yourself, rent it out or sell it. In any case, it is a win-win.
Image Credits: Pixabay