Picking Up Properties with Renting in Mind ; 'Investment Real Estate' Can Be Both Profitable and Perilous

By Crum, Gary R. | The Christian Science Monitor, November 27, 2000 | Go to article overview

Picking Up Properties with Renting in Mind ; 'Investment Real Estate' Can Be Both Profitable and Perilous


Crum, Gary R., The Christian Science Monitor


Perched on a mountain crest in scenic north Georgia, Jerry and Marilyn Weisenseel's new summer home offered solitude along with the cool nights of the Blue Ridge Mountains. The perfect escape from Florida's hot, humid summers.

When a consulting job led them to Denmark for six months, the Weisenseels decided to rent out their little bit of heaven. Having leased their beach-front condominium for several years, they felt comfortable when approached by a local real-estate agent.

"We were promised handsome rents if we would be willing to rent short term," says Mr. Weisenseel. "By renting the house for holiday weekends and one-week stays we could earn all of our monthly expenses in just one week."

For casual landlords trying to cover the expenses of a second home, renting may seem like a good idea. A May report by the National Association of Realtors indicated a record 377,000 second homes were bought by Americans in 1999, up more than 9 percent from the previous report, in 1997.

About half were for at least part-time rental, says an NAR spokesman.

But the cost of renting out such a home may be too great in terms of physical damage and emotional wear and tear.

Unless they employ caretakers, rental-property owners who live any distance from their holdings can have a hard time learning about such problems as water damage, break-ins, or fallen limbs.

They can also have trouble policing short-term tenants.

Returning from abroad, the Weisenseels heard neighbors recount stories of strange chanting coming from their house on several weekends. They found their dream house in shambles. The wood floors were gouged, the furniture moved all over the house. Candles placed in the open beams had dripped down the paneled walls.

"Because these were short-term rentals, there was no prescreening of tenants, no leases or security deposits. The real-estate agent set up the rentals and collected the rent, but was not responsible for damage done by these short-term renters," says Mr. Weisenseel.

Still, this experience did not deter the Weisenseels from investing in rental properties. It did, however, lead them to take a different tack.

When their accountant recommended real estate as a way to diversify their investment portfolio, they went shopping for small rentals. After looking at several properties, they settled on a modest duplex and fourplex to get them started.

"So far, so good. Our son-in-law helps manage the property and I keep the books," says Mrs. Weisenseel.

During the first half of the past century, before the Internet and Silicon Valley, real estate created more millionaires than any other industry. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Picking Up Properties with Renting in Mind ; 'Investment Real Estate' Can Be Both Profitable and Perilous
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.