Three Types of Oklahoma City Rental Properties to Avoid

When it comes to purchasing investment real estate, there are many different Oklahoma City rental properties to choose from. Sadly though, they aren't all equal. Some options provide great value and tremendous opportunity for returns, while others will lead to nothing but headaches and almost unavoidable financial losses.

If you're in the market for OKC rentals, here are three different types of properties that you should be absolutely certain to avoid:

1) Slow-Growth Neighborhoods - The most dangerous type of rental for any investor is one that doesn't have a bright future outlook. Before considering a purchase, look into the trends of the neighborhood it's in. Are rental prices increasing at a rate consistent with other Oklahoma City rental properties, or are they growing at a slower pace?

2) High-Vacancy Areas - Regardless of how nice a home is, even if it's the best in the neighborhood, buying in a high-vacancy area can be a recipe for disaster. Having your investment sit empty while trying to procure tenants means no income is coming in. At the same time, you'll still be required to pay the mortgage, taxes, insurance, and other fixed costs.

3) Drastically Deferred Maintenance - While this rule may not apply to seasoned and experienced investors, those new to OKC rentals should avoid properties with drastically deferred maintenance. Sure, these are often some of the best deals with the greatest upside, but they also pose some of the highest levels of risk, especially for someone without the proven track record and experience to spot potentially costly problems.

Up Next: How OKC Property Management Can Improve Tenant Relations