Is it really high to invest in renting a house in America?

The annual rental returns in the United States described in American real estate advertisements are mostly 5%, 6%, etc., and some exaggerated ones reach 8%-1%. These rental income data may not be true. To accurately calculate the rental income of a house, it is necessary to estimate the authenticity of the rent. Considering the vacant period of the house and the annual expenditure of the house, including property tax, property fee, maintenance fee and management fee, the actual income is calculated according to the formula: rental return rate = annual net rental surplus/house purchase expenditure.

1. authenticity of estimated rent

many American developers will give figures of "estimated rent" or "conservative rent" for their projects. However, a relatively simple and accurate way to estimate the rent of investment-oriented real estate in the United States is to inquire about the historical rent record of the house or the rent level of similar houses around it.

2. Vacancy period of houses

Generally speaking, in the United States, the vacancy period of apartments is less than 2 weeks, and that of villas is about 1 month

3. Annual expenses of houses

(1) Property tax

(2) Property fee

Generally, the property fee range of apartments in Seattle, USA is between 2 and 5 dollars, while that of villas.

(3) maintenance fee, home insurance

(4) rental commission

rental commission is the fee paid to the broker who helps the owner rent the house, and the proportion of the fee is generally half a month or one month's rent.

(5) House management fee

The house management company will carry out regular inspection, maintenance and rent collection for the houses under rent, and the fee is 8%-1% of the annual rent.

4. Real rental rate of return

Rental rate of return = annual net rental surplus/housing purchase expenditure

When buying a second-hand house in the United States, the additional tax generated by housing transaction is about .8% of the house price.