Earning $100 profit a month from one house, or breaking even, can be cause for celebration for first-time rental property owners.
From an outsider’s perspective, renting property might seem almost like a turnkey operation – allowing landlords to sit back and reap the rewards of their investments with little or no effort.
But while rental properties can be a sound investment, it’s not as simple as it might seem and the cash isn’t always rolling in.
Only 35 percent of single-family rental property owners participating in the Census Bureau’s Property Owners and Managers Survey reported a profit. The survey, which was conducted inthe mid-1990s, found almost 17 percent reported breaking even, 28 percent reported a loss and the remainder were unsure or did not respond.