Property Investment Tips
Investing in property is fast becoming one of the more popular investment methods in Australia and it’s evident why. With the current market, it’s almost a guarantee that you will see a profitable return when you start renting or leasing out your property. But the initial process can be daunting for first-time investors so our real estate firm in Williams Landing has prepared some hot tips to get you started.
Know the area
The first thing you should do is figure out where you want your investment property to be. Pick a suburb, or a block, and over a period of a few months – maybe more depending on how active it is real estate-wise – watch the houses that are selling. Figure out the price point for the area and the types of houses that are going.
You can do this for multiple suburbs if you wish but it’s always easier to concentrate on one area at a time. Create a detailed table or spreadsheet to keep track of this information easier. This way you’ll know what you should be aiming for when it comes to investing in a property.
Know what you want
Why do you want to invest? Some people invest to increase their financial portfolio, others want another cash stream or the tax benefits that become available when owning multiple properties. It is important to figure out the reason you want to invest so that you can tailor your experience positively and narrow down your field of search.
Another thing to consider is if you want to invest in a home that is all ready to go, or do you want a fixer-upper at a lower price and then finish it on your own terms. The advantage to this is you can re-design the house in any way you choose without paying a premium price of an already completed house.
At the end of the day though you’re not designing the house for yourself to live in so there’s no point in getting too attached to the design. Neutral colours are a good way to go if you’re unsure of how to design it. You can also hire a professional designer to come in if you’re stuck.
Don’t go it alone
Networking is a default no-brainer when it comes to the world of real estate and in today’s day-and-age it’s made even simpler with social media platforms like LinkedIn and the thousands of blogs and forums that exist on these topics. Williams Landing real estate firm advises you to find like-minded people and connect with them, find out what they’ve been doing, befriend them. If you do this right, you’ll establish a solid pool of people to reach out to if you need advice on anything. People are always happy to communicate with like-minded people.
Attending seminars and presentations by investment specialists and professionals can not only give you a wealth of insight into the investment world but also allow you to meet fellow property investors and connect with them. Podcasts, newsletters, there is an endless stream of investment information out there at the tips of your fingers. Use it to your advantage and become an expert yourself. Everyone has to start somewhere.
Know how to negotiate
You’re probably definitely going to have to negotiate during the purchase, if you can try and get the final price down, why not try? You have nothing to lose. This doesn’t just apply to the final price though, but the terms of the contract as well. It is important to be polite yet firm. Remember not to get too carried away though, there is only so much leeway that can be offered in all these sections.
Investing in property is not an overnight profit machine. It is a medium to long-term investment process, so patience is key. Whilst you will not see a return for a while, it is almost guaranteed that you will see a return as property investment is a very stable investment avenue.
Don’t get attached
You need to view houses as what they are in their barest form, brick and mortar. They’re a commodity to be bought and sold. Developing a personal attachment to a house will only cloud your judgement and make the decision making harder in the end. As we mentioned earlier with the design of a house, you’re appealing to an audience, your own taste should not factor into the equation.
Property investment advice in Williams Landing
If you’re searching for a real estate firm in the Williams Landing area to help you make an investment purchase, then Red23 is the firm for you. We can assist you with buying, selling and renting homes.
If you have any further questions about property investment then please give us a call on 03 8372 2122 or send us a message through our website.