Orange County Real Estate Investors understand that a property as a long term investment, when managed well, can become a reliable source of rental income.
Orange County Real Estate Investors Loan Documentation
Some businesses will go through a potential lender that needs to confirm financial responsibility, even when the unit is unoccupied and the monthly mortgage is still being payed.
All Orange County Real Estate Investors know before applying for a loan that it is important to investigate the rental market and the viability of the property, especially as a rental unit.
Details About The Property
Orange County Real Estate Investors have been recommended to apply for a loan on rental units, before the loan is given the property had to of been well maintained.
You have to make sure it has no outstanding issues and does not face any substantial cost increases. Collecting these details will show the lender this property could be a smart investment.
Three Detail Strategies:
- Utility costs. I would be smart to review past utility expenses for the rental property, taking into account the expenses you will be responsible for and the ones the tenants will cover. It’s smart to contact the local utilities to ask about any upcoming rate increases, this could impact your rental income totals.
- Inspection. Conduct a thorough inspection of the entire property, looking for any major issues that may require fixing or replacing. Put a focus on existing signs of damage, looking at the condition of the roof, HVAC unit and plumbing, and the condition of finishes such as exterior and interior walls, driveway, sidewalks and flooring.
- Insurance. Securing a quote for insurance for the rental property. Your lender will want to know how much insurance cost will be, and needing to factor this amount, and all taxes, into the picture to provide a clear view of how much the rental property will cost.
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