If you’re new to the property investment scene, getting started can be an intimidating prospect. Even if you’re a seasoned pro, it can still be scary to make a new investment. There’s always an element of risk, but if you know what you’re doing and take some simple precautions, you can turn your purchase into a lucrative investment with minimal stress and maximum profits.
One of the most important things you can do when investing in Perth real estate is to know your finances and avoid overextending yourself. Use an experienced finance broker you trust and be realistic with your budget. Know how much you can comfortably afford to spend on your new property, and always allow more funds than you think you’ll need for things like repairs.
Don’t worry about trying to time the market perfectly. Nobody knows the future, but the market does have ups and downs. Your best bet is to buy when you’re able to and set a 10-year time frame for success. This ensures that when market growth does occur, you’ll already be a property owner and, therefore, positioned to benefit quickly from the shift.
Another good idea is to buy new property. Owning new property means that the depreciation will leave you with positive cash flow each week, as well as helping you attract quality tenants who want (and can afford) to rent nicer, newer homes. For the same reason, make sure the property you buy is quality built. Don’t buy more than you can afford – but do buy the best you can afford. This will help you attract the best tenants and provide you with the best resale value down the road. Remember, cheaper may be more expensive in the long run.
Following these tips and making informed decisions can help get you on the path to investment success.
