We speak to revenue property owners all the time and even have extensive personal experience as owners of income property ourselves. We know exactly what it takes to carefully select an excellent revenue producing property, how to find the right tenants, and how to manage those tenants and property successfully. We have been buying residential real estate extensively since 1997 and, in that time, we have worked to create great real estate opportunities for individuals who want to own income property in some of the strongest real estate markets in Canada.
Here are five reasons you should consider making your next revenue property an Armchair Landlord property.
Above average rents
Through this program, each property is purchased with built-in Tenant-Buyers who sign multi-year lease agreements at higher than market rents. Armchair Landlords do not worry about vacancies as the tenants already live there. You do not even need a calculator to find out if the property will have a positive cash flow as we have already negotiated a fair and affordable lease payment for the Tenant-Buyer that will generate a surplus income for you every month.
Significant down payments
Each Tenant-Buyer is fully committed to buying the home at the end of the lease. Instead of paying a little more each month into an accumulating fund, our Tenant-Buyers make significant down payments at the beginning of the transaction. With traditional landlording, a tenant will often place only a month’s rent as a security deposit. With Armchair Landlord, most tenants place over $20,000 as a down payment. Larger upfront down payments make it much more likely that the Tenant-Buyer will uphold their end of the agreement and will ultimately purchase the home.
36-month terms
In most cases, we find that the ideal timeline for an Armchair property is three years. Equity accumulates during the lease, and three years is usually enough time for the Tenant-Buyer to qualify for financing. The shorter time-frame allows Armchair Landlords to reposition their capital more quickly and efficiently at the end of the term.
Built-in, commission-free resales
Armchair properties sell at the end of the term without the need of a realtor. There is no MLS listing cost, no realtor cost, no advertising costs, and no lost time on the market without rental income.
Professional management
When it comes to real estate services, we know what it takes to be successful with income property. Regular monitoring, financial statements, property oversight, consistent rental income distribution. Our goal is to take the hassle out of owning rental property.
The advantages of being an Armchair Landlord may change your strategy for income property. While real estate has always been a portfolio staple for wealthy Canadians, it is nice to know you can now work more efficiently with Armchair Landlord. Next time you want to talk about revenue property, give us a call.