There are rich rewards to be reaped from property investment, especially in the current market. Follow these tried and tested tips to help you get the most out of your investment.
1. Do your homework: Nothing makes for a better investment platform than solid research and a sound understanding of the property market. Start perusing property magazines, get along to seminars, and keep your ear to the ground for any hot property trends.
2. Get a loan pre-approval: This is a key way to ensure you won’t miss out on the right property at the right time. A pre-approved home loan is a green light for buying and will also give you a realistic idea of your borrowing capacity.
3. Do the rounds: When it comes to becoming a seasoned investor nothing can boost your proficiency more than experience. Visit as many properties as you can before putting cash on the table so you know how to spot a bargain – and a rip off.
4. Apartment versus house: Decide whether you want to invest in an apartment or a house. There are pros and cons for both options; what may be a better investment will also depend on the area.
5. Old versus new: Once again there are pros and cons for investing in new and established properties, so take the time to think about what will be best for you.
6. Location, location, location: A golden rule for a solid investment is to choose a property close to amenities: transport, supermarkets, schools and hospitals – the more nearby facilities, the better.
7. Think tenants: Carefully consider the type of tenant you want to attract before deciding what and where to buy. So, for example, if you’re looking to attract professional tenants you’ll need to make sure your property appeals to that segment.
8. Maximise your finances: Your investment choice will depend on your own personal finances and financial goals, so speak to us about what might be the best strategy for you; also visit an accountant to learn about tax efficient investing – if you don’t have one we can help point you in the right direction.
9. Keep some cash on hand: Once you’ve bought your property it’s crucial to maintain a slush fund for general maintenance as well as any surprise repair work that may pop up.
10. Keep your cool: While it may be tempting to snap up a bargain, it pays to take some time to negotiate. Don’t take the sale price without haggling – you’ll be surprised how far some sellers may come down.