A Profitable Real Estate Investment: End-User Niche
End users are the actual customers who run the business. They could be buyers or tenants, anyone who lives and pays to live in the investment property. Thus, it makes sense to invest in a sector demanded by a particular group of people in society.
These real estate niches are about buying and investing in a property that serves certain kinds of people and you should not use this as an excuse to discriminate people on the basis of caste, race, religion, etc.
Some popular categories are-
- Long-term rentals- investing in properties that attract tenants that are willing to stay for a long course of time (8- 10 years) is one of the most popular and profitable categories. It takes time to recover your capital but it is more secure and satisfying than most other categories
- Short- Term rentals- this includes renting your property for a brief course of time, less than a month. You can charge people on a daily basis and the fares are high but there is no certainty of customers demanding your property all through the year
- Vacation rentals- you can rent a section of your own home if you live in a place that is frequented by travelers and tourists. This helps in earning extra income without making any large investment
- Student Rentals- if your home is too large or if you have a spare property under your name in the vicinity of a university, then you can list it for Paying Guests (PG), which is a favorite among the student community.
This article describes the End-User Niche very briefly, so if you find an interesting investment then make sure you read and consult further.