Houses are still available for rental property in the economic downturn.  Steps can be taken and used to make the task of buying a house rental easier and less expensive.  Foreclosed homes that can be remodeled are hot on the market and can be rented out for a rental property capital gain of over and above $390,000 nationwide.

But in today's housing market, you can surely expect surprises acknowledging the state of the economy.  If at all possible, avoid foreclosed homes for rental property.  According to the Business Week publication, homes in this condition just need too much work and are too costly to repair.  Most of the buyers of foreclosed homes do not do the proper housing inspections.  Also do not buy into "short sales."  Short sales is when the owner owes the bank or equity loan company more than the value of the house itself.  Short sales are in fact hard sales.

In today's housing market, also, even in today's slow housing market, with huge downpayments, prices do not fall down low enough to make a profit with rental property. 

A two bedroom one bath bungalow may net $125,000 in some western states.  Use Realtor.com to find better bargains.  Having good credit, a job, money in the bank and a good credit score will be a great asset to getting rental property.  LendingTree.com may have difficult maneuvering through todays economic data and it is suggested that Realtor.com be used as the better online company to provide information on rental property.

Independent brokers are excellent sources to find a loan wih a bank or lending institution.  Plan to make a down payment of up to 25% of the rental property.  The interest rates as of 2009 was 6.2%.  Owner occupied homes are worth the fees up to $1000 tacted to the loanfor nonpayment.  Banks normally allow seven days to cancel the purchase based on inspections.  The bank may add fees if the purchased rental property is not closed upon as agreed.

Use Craigslist to locate rental property.  Under price the rent that you find posed on this  website.  Be competitive  to get and secure   a tenant quickly.  The response on Craigslist can be conducive to selecting and getting a reliable tenant capable of paying rent on time as specified on the lease.  Verify tenant's credit and check credit for the lease application approval.  Mysmartmoves.com  is an excellent channel available online to check rental  applicant's credit.