Always wanted to own rental property? Here’s one easy way homeowners can take advantage of the current market – and finally become a landlord in SCV.

Living off passive income while your rental properties bring in the big bucks is an incredible way to live out the American Dream. 

But for a lot of people, it can feel like just that – only a dream. 

Or maybe you’re working hard toward purchasing a second property, but it feels more like a distant hope than a realistic goal. 

With home prices climbing and staying high, that hope may seem even less likely right now, especially to the untrained eye. 

But with the right perspective – and support – those high home prices can actually be a homeowner’s ticket into their second property, and first experience as a landlord. 

In fact, we believe the current market conditions are exactly what homeowners need to break into the rental market for the first time … and finally become a landlord in the Santa Clarita Valley and beyond. 

Here’s one smart and perfectly-timed opportunity for today’s homeowners.

The Easiest Way To Become A Landlord IN SCV

Understanding The Current Market

Between the economy and the real estate market, things have felt pretty confusing since the pandemic hit in 2020. There have been big ups and downs, as well as a lot of change across the board. With all that uncertainty, inevitably comes fear and doubt. 

“Yes, it’s true – right now we’re battling inflation rates we haven’t seen in a really long time,” explained Steffanie Stelnick, CEO and President of SCREM. “We’re seeing the Federal Reserve raise interest rates on mortgage lending.” 

A lot of homeowners are worried we’re heading for another real estate bubble or downturn. Some people are so nervous that they’re bringing their own real estate activity to a halt.

“I’m here to tell you I do not think that’s a good idea,” Steffanie explained. “Real estate is not a one-night stand; you marry real estate. That means you don’t just stop when a couple factors change – especially if the big picture is still working in your favor.”

Regardless of inflation and rising interest rates, demand in the rental market is still high. California home prices, especially in the Santa Clarita Valley, have been consistently climbing and fast. 

“What I can tell you from our experience at SCREM is, right now, we still have a huge demand for rentals, and we’re still seeing high rents,” Steffanie explained. “There’s no reason to worry because our local real estate market is going strong.”

The Easiest Way To Become A Landlord Right Now

Because of the current market conditions, there is one simple way to break into the rental market and become a landlord in the Santa Clarita Valley right now. 

“So many homeowners are sitting on a ton of equity – especially if you bought your home before the pandemic started in March 2020 – because home prices are up significantly,” Steffanie explained. “If you’ve been sitting on the fence about becoming a landlord and real estate investor, there’s no better place to start than the principal residence you’re living in right now.” 

Ideally, your current interest rate is the lowest it’s ever been because you took advantage of the record-low rates during the pandemic. Additionally, it’s an owner-occupied interest rate, which is even better. Add that to the equity you’ve gained over the past couple years, and you’re in a fantastic real estate position. 

“If you’ve been dreaming of a bigger home, or moving to a new location, now is the time,” Steffanie explained. “Go out and find your new dream home, then rent out your current residence. It’s a win-win that will pay you forward for years to come.”

How To Make It Work

While this sounds like an ideal strategy, the biggest question for most homeowners is: Where do I get the money for my next property? 

“You’re sitting on one of your biggest assets,” Steffanie explained, “and your principal residence gives you a lot of options.” 

Even if a cash-out refinance isn’t the right option for you, a Home Equity Line Of Credit (HELOC) could work out beautifully. 

“The point is that there are a lot of different options to find the money in your home, so you can use it to invest and begin creating passive income,” Steffanie explained. “Take it from me: There’s no better way to live the American Dream than on passive income.” 

Reach out to your lender today to discuss your different options, or give us a call to start looking at the possible solutions available to you today.

How We Can Help

SCREM is owned by a husband-and-wife team who have combined expertise in legal, real estate and property management experience. They personally own rental properties and work with tenants, and they even own a real estate agency in Santa Clarita. Todd and Steffanie Stelnick have years of experience in every aspect of the industry, and they’ve poured that expertise into the processes and staff members that support SCREM clients every day. 

Please reach out to us today to discuss the different ways you can break into the rental market and become a landlord in Santa Clarita or throughout California. 

Ready to talk now? Email SCREM Vice President Todd Stelnick at todd@screm.com.

About Southern California Real Estate Management Inc.

Southern California Real Estate Management Inc. was founded in 1987, and has grown to become the largest property management company of individually-owned single-family homes and condominiums in the Santa Clarita Valley. Our locally owned and operated company currently manages about 700+ homes in Southern California. Our Team specializes entirely in residential property management.