Five tips for choosing a great investment property
Choosing the perfect investment property is not an easy task. Youll need to invest some time for research and youll need to be prepared to do some legwork. If youre on the hunt for your next investment property, here are five things to keep in mind.
- Proximity to schools, shops and public transport
Location, in real estate, is everything. The closer you are to the CBD, the better the potential for capital growth. Narrow down the suburbs youre keen on and investigate the schools, shops and public transport options that are available. Proximity to these amenities is high on the list for the majority of tenants.
- Would I live here?
While choosing the perfect investment property is less about you and more about making smart financial decisions, youll need to consider the wants and needs of potential tenants. When youre looking at new investment properties you need to ask yourself, Would I live here? If you couldnt imagine living in a property, chances are tenants wont either. Choosing a home that appeals to potential tenants is critical. The property needs to be well presented, tidy and well maintained. Creature comforts like a dishwasher and air conditioning will also help.
Not only is a secure home great for attracting potential tenants but it also means your valuable asset is protected, too. Look for properties with a lock-up garage, good exterior lighting, an installed (and working) security system, security screens and locking doors and windows.
A home that offers no privacy will turn potential renters off quickly. Look for properties with adequate fencing, screens or block-out window coverings. Ideally, dont choose a property that can be looked down upon, or into, by neighbours no one wants to feel like they are living in a fish bowl!
- Rental returns
Have a chat to one of our property managers to determine the type of rental returns you will see in a particular suburb. We can also give you some tips about supply and demand in the suburbs youre interested in.