At Investors Edge, our buyer’s agents and property managers work with investment properties in Perth. One of the fundamentals of success as a property investor is to identify your ideal renter and then give them what they want. Here is a guide to help you decide what size home to buy once you have identified your ideal tenants.
Your Ideal Tenants
One successful investing approach is to choose family homes in family-friendly suburbs. The average family is going to have two children, but some have more and some only one. Ideally, you will want to have enough space to provide some flexibility, but not so much as to “price out” your ideal tenant. Obviously if your ideal tenant is a double income couple with no kids than their requirements will be very different from those we explore below.
So, your first task will be to identify your ideal tenants.
How Many Bedrooms?
According to the 2011 Census, the average family had two adults and two children, living in a home with three bedrooms. This allows for each child to have his or her own bedroom, though it isn’t mandatory.
Leisure and Home Office Space
Many tenants have jobs that require them to bring work home with them. Often, there will be a serious musician in the family who needs a practice room. Offering more space can sometimes entice the tenant who needs it, while a lack of extra space can cause them to look elsewhere.
Families need storage space. At first, it may be used for toys. Then, as families grow, they often collect mementos from various activities. Many have professions or hobbies that require equipment. Either way, there has to be some kind of storage solution. An extra bedroom can work, as can a shed or a renovated basement.
Homes have plenty of hidden spaces that can be used for storage. For example, your laundry room can have built in cupboards and a folding table. The space underneath stairways can become a closet. Attics are great for storage and can be renovated to provide more space.
Making the Choice
Identify your ideal tenants. Determine what they want and buy what they are looking for. It’s that easy. Call 1300 472 427 to learn more.