Invest In Bend Oregon Real Estate: A Complete Guide
If you’ve been thinking about getting started in real estate investing, there is no better area than Central Oregon. Bend, Oregon is one of the fastest growing cities in the country with constant new real estate opportunities. If you want to get started with investing, this is the place to do it. Learn about some of the different ways you can get started down this career path in this guide to Bend, Oregon real estate investing.
Properties to Consider
Before we get into the nitty gritty, we need to start with the basics: what kind of property should you actually be investing in?
If you want to start off carefully and slowly, you might want to purchase a single home to rent out. You can purchase a home in your price range, and you will be able to see a small profit as soon as you get a renter in the house. While you have the renter covering the mortgage, the house will also be increasing in value.
Also, depending on the neighborhood the house is in, you can make improvements and additions to the home between tenants. This will mean you can ask for a higher amount in rent, and it will increase the home’s value. You can continue renting it out for as long as you wish, then sell it for a nice profit in the future if you choose to do so.
This is a very popular strategy in the Bend, Oregon real estate market. You will not find a shortage of renters in the area, and even small properties can turn a profit. Bend is a very desirable town to live in- just make sure you choose the right neighborhood!
Another type of rental home that you can invest in is a vacation home you can rent out. If you decide that this is the route you would like to go, make sure you do your homework first. You need to make sure the home you purchase will do great renting out as a vacation home. This is something our realtors will be able to help you with.
A vacation home that you purchase as an investment is going to need to be located in a tourist town- which is why this is an excellent choice for Bend! A larger than average percentage of the Bend, Oregon real estate market is made up of vacation homes. These can be short or longer term (a month or longer) rentals.
It will need to be in a great location, and it needs the important features that people seek out when looking for a vacation rental. Some examples of these features include a great view, close proximity to attractions or local conveniences, a swimming pool, etc. Consider homes near local landmarks such as Pilot Butte, the Deschutes River, the Old Mill District, or even Mt. Bachelor.
Another way you can go if you want to start out cautiously is to purchase a multi-family property. This type of property includes duplexes, triplexes, fourplexes, and so on. Buying a multi-family property is a great way for you to get your feet wet on having rental units.
If you would one day like to have apartments, but you aren’t ready for that step, then this would be a great first step. You will learn a lot about having multiple units while starting out at a slower pace. Once you feel better prepared for more units, then you can progress up to an apartment complex.
If you decide that you want to start investing in real estate by purchasing an apartment complex first thing, then you will be glad to know that you can have a management company take care of all of the management dealings for you, so you won’t have to step into a large amount of work.
Having a professional management company is better than hiring an individual to serve as manager when purchasing an apartment complex. A professional management company will keep things running smoothly, and while they may cost more, they will be worth it. They will help you see more profit long term by preventing issues and helping your complex retain satisfied tenants longer.
If you are a beginner investing in Bend, Oregon real estate, it may be better to start with a vacation home or even vacant land before jumping to a complex. However, that’s not to say apartment complexes in Bend don’t turn a profit- they certainly do! Consider consulting an expert to see if this is the right step for you.
If you are interested in investing in real estate when you don’t have much to work with, you can purchase some land for a very affordable price. You can hold on to the land and sell it at some point in the future for a profit. If you like, you can also build a new construction home on the property.
If you do your research, then you can determine what land will soon go up in value. This allows you to buy land that you know you will make a profit on without waiting too long. One of the things that can cause land to go up in value sooner is if it is a piece of land that’s currently in a rural area, but will soon have developments going up near that land soon. This is a very frequent occurrence in Bend. When investing in real estate in Central Oregon, definitely don’t dismiss vacant lots. They may have more value than you think!
Another thing that can increase the value of the land is if you buy it without road access and then roads are installed around it.
If you are handy with tools and know a good amount about home repairs and remodels, then you are in a very good position when it comes to flipping houses. When you first start out, you want to purchase one fixer-upper at a time. You shouldn’t purchase another until you have sold the first.
There are some things you will want to make sure of when you decide to flip a house. You should know how to do the work yourself, or work with a contractor who you have a solid working relationship with. You also want to have the home inspected so you know the full extent of work that needs to be done. Find out if there are problems with it such as a mold issue, bad electrical or plumbing issues, etc.
While you may think Bend is too modern, there are several neighborhoods that have older or historic houses that you can purchase to fix up. The Bend, Oregon real estate market isn’t just new construction- you have plenty of options!
Getting guidance from other real estate investors and professionals will allow you to tap their knowledge and experience so you answer the door when the real estate opportunity knocks. Then you will be better prepared to make the right investments, but be cautious. There are people out there claiming to be successful investors who simply make their money from the books and classes they get people to sign up for, as you walk away no more knowledgeable than when you first started.
Set Your Path
It’s easy to see a successful real estate investor and think that you will do the exact same thing they did to become wealthy. So you put in the same amount of time and investments, yet see less than stellar results. One thing to keep in mind, is that this real estate investor wasn’t afraid to go out and do their own thing, recognize and overcome the challenges, and persevere to reach such success. Remember it will be your hard work, research, decisions and investments that will make your investments a success. When you invest in Bend, Oregon real estate, remember you are also investing in yourself!
Commit to Re-Invest
Successful investors don’t just use their money to light up their cigars on their yachts once they hit the big deals. They understand the importance of re-investing what they earned to bring in more profits. It’s great to celebrate the huge deals, yet spend the money wisely and within your current means. Always take a portion of the money to move on to bigger and better investment deals so you can have a larger bank account.
Risks and Losses
You could do everything right with your real estate investments when suddenly the market tanks, sending you into a spiral of losses that can be hard to recover from to get back on your financial feet. Consider the risks and prepare for the worst to protect your portfolio investments so you don’t see your earnings take a significant nosedive.
Some people will research and study the market looking for the right time to invest. They will insist they need more experience and knowledge, so they will wait to pull the trigger on anything. While it is fine to learn all that you can with real estate investing before making the plunge, try not to psych yourself out from making that first move. Eventually you have to commit your money and time, or you will continually be second-guessing yourself as great opportunities pass by. Even if you stumble the first few times, you can learn from the experience to become a better real estate investor.
This guide for investing in Bend, Oregon real estate is a great place to start when you are new to real estate. However, once you gain more knowledge about the real estate industry, then there will be even more opportunities for you to take advantage of. Real estate is one of those things. There will always be more that you can learn and other things to get involved in. And remember- it’s best to start with a good real estate agent.
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