You don’t need much capital to be a landlord, hence mortgages. If you’ve never owned a house you can put literally 0% down.
The reasons to not be a landlord are plenty:
- potential downturn in the area
- tenants ruining your property
- inability to do maintenance affordably
- provide basic amenities and keep up with legal obligations can and do change unexpectedly
- potential eviction expense and risk
- rent collection, as we’ve seen from the pandemic
- dealing with people
People who think being a landlord is a slam dunk as long as you have the capital and it’s no work don’t know what they’re talking about.
Reminds me of people who think running a website is free money because the computer does everything.
The reasons to not be a landlord are plenty:
- potential downturn in the area
- tenants ruining your property
- inability to do maintenance affordably
- provide basic amenities and keep up with legal obligations can and do change unexpectedly
- potential eviction expense and risk
- rent collection, as we’ve seen from the pandemic
- dealing with people
People who think being a landlord is a slam dunk as long as you have the capital and it’s no work don’t know what they’re talking about.
Reminds me of people who think running a website is free money because the computer does everything.