With todays over inflated house prices, it’s hard to find a suitable house that meets all of a person’s needs at the right price. That’s no different for a person who is looking for a house to buy for a board and care establishment for the elderly. Instead, many board and care operators are opting for homes for rent to establish new businesses. Listed below are some of the advantages of homes for rent versus buying a home for a board and care facility. No huge investment
The obvious advantage of homes for rent is no real investment is necessary. That’s because even though the monthly rental payment might be only a few hundred dollars less than a typical mortgage payment, you don’t have to make that huge down payment. With down payments roughly 20% (in today’s tight credit market) of the price, that can mean putting down $60,000 to $80,000 on a $300,000 to $400,000 house, an amount that many people just don’t have.
No worries when the air conditioning system breaks down
Unlike a home purchase, a home for rent doesn’t require you to pay the big maintenance bills. If your air conditioning or heating breaks down, all you need to do is call the owner. Unless you haven’t properly maintained the unit (i.e. cleaned the filters), then you shouldn’t be responsible for paying the bill. The same thing applies to any system breakdown, whether it’s the plumbing or the pool heating system.
Rental charges should more than cover the rent
If your home for rent has three-bedrooms, that means that you can more than cover your rent with 6 tenants. Just make sure to do the math to ensure that the extra rent money can also cover the expenses of running the business. For example, the rent should cover such expenses as the food, electricity, water, staffing, activities, etc.
Stepping stone for more homes for rent
If you play your cards right, then your first rental can lead to more business opportunities. That’s because once you get your name out in the community and build up your clientele, you’ll probably find that you’ll even have a waiting list. Once you have that waiting list, you can then start searching for your second rental. |
