Pros and Cons of Single-Family Investment Properties in Orange County

Single-family investment properties are the most common type of real estate investment. However, there are some pros and cons to consider before buying. To learn more about it and to find out if it is the right niche for you, check out our latest post below!

If you are thinking about making a real estate investment, you might automatically think of buying a single-family home. While this is an excellent choice, there might be a few things you haven’t thought about. As buyers and sellers of Orange County real estate, we have put together a list of things you may not have considered. If you have any questions about investing in Orange County, please reach out to us any time!


Resale Value

Single-family properties will likely appreciate over time, they will hold their value as opposed to rentals which tend to fluctuate a bit more. There is always a demand for single-family homes as opposed to other types of real estate. If you decide one day that you want to sell, the odds are you will make a profit and have a much easier time selling than you would with other types of properties. If you want to walk away from the property at any time, you can. Or, if you decide you want to live their yourself, that option is always there for you too!

Lower Taxes

Single-family homes typically have lower property taxes than their multi-family counterparts. This will allow you to keep more cash in your pocket each month, without having to worry about excessive tax bills.

High-Quality Tenants

People renting a house as opposed to an apartment tend to stay a bit longer. They might be saving up for a home of their own or they have a family they don’t want to move around. Having tenants in place, without any vacancy will greatly improve your ROI. When you have good ones living in your home, it makes your job as a landlord easy. Be sure not to give them any reason to move!

Low Maintenance

There isn’t much maintenance of the standard single-family property. So long as things are all in working order when you rent out the house, the tenants you have in place should take good care of it if they want to see their deposit back. And if they don’t, it can be a violation of their lease, resulting in eviction.


Vacancy Hurts

If you lose your tenant and aren’t able to find another one, your income from the property will be zero. Plus, you will have to pay the expenses the tenant usually pays for such as power, water, and other utilities. After all, the lights need to be on if you are going to show the property to other prospective tenants. This is the risky park of only owning one rental property. However, it shouldn’t dissuade you from buying, just make finding great tenants your #1 priority.

HOA Fees

Depending on the community, there might be HOA fees to contend with. These can rise over time, so make sure you have a true understanding of the costs and what the HOA will cover. There can be special assessments added as well, so be sure to keep up with what is going on if you do not live within the HOA’s jurisdiction. Your tenants will also need to abide by the rules of the HOA. If they are in violation, it can come back to bite you.

Single-family homes in Orange County are a wonderful way to add value to an investment portfolio. H&M Realty Group can help with your questions as well as show you some of the best rentals in town!

Interested in single-family investment properties in Orange County? We can help! Get in touch with us today!


Broker/Realtor/Investor/Mentor (41 years experience) Specialties: Buyer's Agent, Listing Agent, Foreclosure, Short-Sale, Property Management, Landlord I'm a Full Time Real Estate Professional, house flipper and mentor to many of my clients. I am here to help you get top dollar for your home or get you the best price for a home that you are going to live in. I have over 40 years of real estate experience for you to draw on and actively list and sell over 20 homes a year. I have sold over 600+ homes in the last ten years alone. I am a very skillful negotiator and will work diligently to help you realize the best possible price when buying or selling your home. With my Exclusive Home Acquisition & Sales System, I can find the Right Home for You! I have access to homes no other Realtor will show you. I can show you how to save an average of $10,000.00 on the purchase price. We will find a home that fits your needs, in a neighborhood that suits your style. If you are selling your home then I can bring all the professionals to you. I always include professional photos in ALL my listings. I have contractors standing by to assist with those upgrades if needed. I can also quickly get you ALL CASH offers for your home if you desire. My marketing surpasses all other agents. It begins with extensive internet advertising to hundreds of websites throughout the world. I do direct mail marketing for you home and also knock on doors in your neighborhood when I am holding an open house. I hold you home open to expose it to as many buyers as possible. My Exclusive program is designed to sell your home for Top Dollar in Any market. I am an experienced flipper here in Orange County and therefore can offer you my over 40 years of real estate experience. The information is available to you at no charge! If you like what you see, please call me and setup Your Free Consultation.

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