Making the decision to purchase an investment property is exciting. After all, becoming the owner of an investment property can unlock increased wealth, a passive income, or a comfortable (and even early) retirement. However, it can be difficult and nerve-racking to know where to start.
This guide will help you begin or continue to expand your property investing portfolio to assist in providing a financially secure future for you and your family.
Assess your investment goals
Before you jump in and start shortlisting homes, it’s important to consider your investment goals. Too often people begin without really knowing what they want to achieve.
Be clear about what you want to gain from your property investing journey and create a strategy before you do anything else.
Check your current financial health
It’s just about impossible to move forward with property investing plans without having a clear idea of how much you need to save, how much you can spend, and how much you should spend.
Your current financial situation needs to be reviewed to find out your budget, your savings goals and the timeline you are working with to begin investing in property. This will all have an impact on which properties you can afford and when is the right time to buy. Don’t forget to factor in costs like insurances, bank fees and property management too.
Find the ideal location
There’s a reason the worst house on the best street is often highly sought after. When it comes to real estate, you need to think carefully about location, location, location.
Finding the perfect location for your investment property can come down to a range of details – many that could easily be overlooked if you’re only getting started. When deciding on the ideal place to own a property, consider factors such as:
Choose the right investment property
Knowing whether to build a house or townhouse, off the plan or established are decisions that you will need to make. Refer back to your investment strategy throughout this process to make wise choices and consider the demographics of your shortlisted suburbs. Consider who will want to live in the suburbs you are looking in. Are they families? Young professionals? How many bedrooms do they require? Do they look for homes with space to entertain or do they prefer lower maintenance dwellings?
Remember, don’t make the mistake of choosing homes that only suit you; though do consider that you may opt to live in the property at some stage yourself.
Get the support you need to succeed in property investing
There is no need to make these decisions alone. It’s important to reach out to professionals to get the most up-to-date and relevant advice for your individual circumstances and goals.
The team at Fairhaven Homes has a wealth of knowledge and experience to share too. Chat to us about your property investment journey and learn how we can help.
The information contained in this article is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Fairhaven Homes recommends that you consider whether it is appropriate for your circumstances and that you seek independent legal, financial, and taxation advice before acting on any information in this article.