About five years ago, I made the decision to buy rental properties.
I believed that rentals were an opportunity to make good money with very little work.
When I added up the amount of rent I would take in, I expected to easily pay the mortgages as well as turn a profit. I bought five different properties in the Phoenix, Arizona, area. Along with the investment into purchasing these buildings, I dedicated a significant amount of money to fixing them up. I replaced air conditioners, light fixtures and appliances. I added more outlets, security systems and outdoor seating areas. I landscaped and painted the walls and ceilings. The apartments were in very good condition when I rented them. I soon realized that renters are extremely demanding. I constantly received calls with complaints and requests. One renter wanted ceiling fans to help cold down the living space. Another renter wanted a dishwasher. They complained about the amount of dust in the air, noise from the street and the cost of the rent. They rarely paid their rent on-time. I soon realized that I was not making any money at all. However, I was dealing with a lot of stress and sacrificing a great deal of time and effort to appease my tenants. I decided to sell the properties. After only a couple of years, the tenants had nearly destroyed the apartments. To attract a buyer and assure bank financing, I’d have needed to sink a great deal of money into repairs and updates. I chose to contact a cash home buyer. I worked with a company based in Phoenix that accepts properties in as-is condition. I provided some standard information and they gave me a cash offer that same day.
