There are countless investing strategies in real estate. Some investors acquire only cash flowing properties, while others bet on appreciation. We find that cash flowing properties provide the most flexibility, yet in today’s market, properties do not always cash flow upon purchase.
Enter forced appreciation! Small changes can be implemented such as painting the exterior, lowering expenses (utilities), charging for additional storage, paving and striping the parking lot, the list goes on. All these improvements add value to the property thus justifying an increase in rent.
