Investing in real estate has in the recent past become a major investment vehicle. The main reason for investing in real estate is to make a profit. Here is how this works; you put money to work, and then let it grow so that you will have more money in future.
To most people, real estate investment involves a property owner (landlord) and a property user (tenant). However, real estate investment is a bit more complicated than this. This is because there are different types of real estate investment. These include:
- Residential real estate
- Industrial real estate
- Commercial real estate
- Retail real estate
- Mixed-use real estate
- Mortgage Lending
- Sale/Leaseback transactions
REIT (Real Estate Investment Trust) refers to real estate that trades on stock exchanges.
Why Invest in Boston?
Boston is already well-established and is still growing. For this reason, it attracts the country’s 3rd largest share of venture investment per capita. This, in turn, translates to high demand for rental apartments.
As an investor, you need to familiarize yourself with the market in which you want to invest. It would also be wise to hire an agent to help as there are very many aspects to consider such as location and rental market rates.
When you buy apartments for rent, get a company to manage the property for you. In Boston, there are very many resourceful companies that could manage your apartments for you. However, factor in their salary and how it affects your investment’s profitability.
Prices in Boston apartments and homes are expected to rise over the next couple of years by about 20%. This makes the idea of investing in Boston to be very viable.
Another thing, Boston is a low crime city. Some of Boston’s top 5 neighborhoods that are most suitable to invest in are:
This is the largest and most diverse neighborhood in Boston. Here you will find residents who are from different religions and cultures. There are quite a number of affordable apartments in this neighborhood.
Previously, this neighborhood was referred to as the garden suburb. The place is really green and generally calm with residents having a moderate pace of life.
- East Boston
This neighborhood is one of the most beautiful parts of the city with numerous waterfront building and amazing panoramic views. This region has low vacancy rates.
- Jamaica Plains
JP has a lot of parks and green alleys that are most suited for taking strolls with your dog. People here actually care about environmental sustainability. Property here is a little on the higher side
- Back Bay
This neighborhood is famous for a lot of things ranging from the high-end fashionable shopping mall, the nightlife, its fine dining and the gorgeous Victorian architecture.
This neighborhood is home to the Boston Public Library and for this reason; it is considered a cultural center. Back Bay also has the oldest city park in the United States. This brings in so many local and international tourists.
Property prices here are also a bit high just like in the Jamaica Plains.