Buying an investment property can be a bit of a daunting task, especially if this is your first time. There is lots to consider and of course you want to make the right decision that will benefit you in years to come. Here, we’ve listed our top tips for choosing the right investment property to suit you.
From getting the right property investment advice to doing your own independent research, we’ve got a list of tips you won’t want to miss:
* Choosing the right loan- This is very important. Do your research and find out what options you have available to you. Don’t rush this step. It could save you thousands in the long run. The main things to look at here are; do you want a fixed or variable rate on the loan? What are the important features you want from your loan? And other important things you want to decide on before going with a particular bank or lender.
* Think ahead about what you can afford balanced with the rent you will be able to charge on the property- Be careful not to overstretch yourself too much. Find out what the reasonable rent is for the property you are looking to buy and if you think that it will be severely stretching your budget paying the extra on the loan, consider looking at another property or in a different area.
* Be informed- Do your own research and know what the trends are in the areas you are thinking about buying in. Find out what the going rent is. Look at other properties that have sold in the area and look at how much properties in the area have appreciated over time. This is a big decision, so you should know everything there is to know about what you are buying before proceeding with the purchase.
* Get the right advice- Getting the right property investment advice can mean the difference between making a great investment and making a bad one. While it is good to do lots of your own research and learn as much as possible, getting advice from professionals who live and breathe property investment can make all the difference. This is a very big investment. It’s good to have people who know the industry like the back of their hand, on your side.
Ultimately this is one of the biggest financial decisions you can make in your life, so you want to make the right one. This can feel like a lot of pressure, especially if you’re not familiar with investing in property. That’s why it’s sometimes a good idea to get the advice of experts. It’s also important that you know all there is to know about where you are buying and the type of loan that best suits your needs.
Buying an investment property should be fun, not a stressful task. Being informed is the best way to enjoy making this decision. I hope our list of tips has given you some useful ideas on how you can choose the best investment property for you, both now and in the future.