Real Estate Venture: Rental properties

Running Head: RENTAL PROPERTIES 1
Real Estate Venture: Rental properties
Student’s Name
Date

RENTAL PROPERTIES 2
Introduction
The report entails a rental property research I conducted in my local market. All the
information provided in the paper came from ground research and media sources. The objectives
of the study is to determine to what extend has rental properties in my community, profitable key
players in the industry and trending issues in the field of real estate. More, so the paper looks at
the issue of competition in the field of real estate since most of the services offered in the field
are much similar. My study involved use of real entrepreneurs in the field of which I had to
compensate because of consuming their time.
Scale of the Industry
Rental properties business in my region mainly entails buying and selling of land and
buildings. The business has been of great admiration by most of the great businessmen in the
region. The research of the area is based on an extensive and comprehensive analysis of the
market structure and outlook. The report is to be used for important purposes such as investment
decisions. Profits realized in the business have tempted many people to invest in the business.
Businessmen buy land, build houses and rent the buildings to people. Otherwise, they acquire
ready build buildings and rent them out.
The scale of operation of the business is large. It is a large scale type of business in the
region. For one to think of venturing into real estate, they require enough resources to cater for
the risks involved. Compared to other businesses in the region, real estate requires a huge
amount of capital to start. The business contributes much to the Gross Net production of the
region. The net worth of region production in real estate amounts to $650 million. This is the
summation of a region of 300 miles. It is a very lucrative type of business. It takes about 100 to
200 properties for one to find a real estate deal.

RENTAL PROPERTIES 3
Scope of Operation
The real estate market of the region ranges from local to national. However, rental
properties only have investors who depend on only the local properties they have. Some have
expanded and occupied other parts of the country. In the research, out of ten people who are
involved with real estate business, 60% of them are involved in the business nationally. What
brings about the variation is the need to standardize national policies regarding real estate. The
sales in the industry explore from the local region per company from $2.0 million to $3.0 million
nationally. The difference in prices is due to the availability of land at the local market and
national market. Prices for land are cheaper locally because the region is still developing.
Nationally, major cities are developed with major businesses going on, real estate business cost
more depending on the size of property. Most residential properties in most cities range from $2
million to $4 million.
Industry niches do not exist on their own but rather created. There are more opportunities
that can be spotted in the industry that have not been realized by entrepreneurs. Rental properties
as a business requires innovations day to day as creativity and carefully observations can create
opportunities in the market (Sanderson, 2015). The business is still developing in the region and
therefore, many opportunities wait for exploitation. Most investment depends upon real estate
but land is a basic requirement for consideration before starting up a rental property. This is an
opportunity that any real estate venture can use to maximize the output. There are over ten real
estate marketing niche opportunities that any real estate venture should be well versioned with.
One needs to identify their passion and focus there (Boardman, 2012).
First there is for sale by owner properties (FSBOs), a real estate venture is not supposed
to discount these properties. Sellers often have limited time to market their homes (Ambrose,