What kind of rental property is the most profitable?

[Chibson]

I was discussing with a friend of mine about investing in real estate business and rental properties some time ago and some of the suggestions he gave me is actually very much insightful.

There are some rental properties you will invest in and you will get a lot of return of investment much faster than those who invested in some others. If you want to invest in a rental property like an Eventplace you will make more money when compared to someone who built a house for rent.

For example if you build a school hostel and students rent it for about $100 per year and the money you used in building the property is 40000 dollars. It will take a whole lot of time for you to be able to recover your investment.

But if you build an Event centre for entertainment for 50000 dollars then you will recover your investment much faster.

The reason is because there are some entertainment events in which you can rent out your property for and they will pay you up to $5000 for it. Now in a year, if you get about 20 people who are ready to rent out the place you may actually be able to recover your investment.

So it is always important to do your research before investing your money in real estate business to determine return of investment.

What's your opinion?.

 

[Ramolak19]

Anyway I think most profitable rental property depends on a variety of factors, like your location, condition of the property, and market demand. But generally speaking, single-family homes tend to be more profitable than multi-unit properties due to their lower overhead costs and higher potential for appreciation.

And I also think off vacation rentals can also be very lucrative if they are located in desirable areas with high tourism rates. Ultimately it is important to do your research before investing in any type of rental property so that you can make an informed decision about which one will yield the highest returns.

 

[niche]

In metro cities with plenty of job opportunities, many young people are looking for a suitable place to stay, so it is easy to find tenants and get a good rent every month. Similarly wedding halls and other properties where events are held are also in demand in large cities. In small towns with no tourism and few jobs available it is more difficult to find tenants, so the property may not be very profitable.