Will you be taking time out and hitting the beach this summer? The real estate market slows down over New Years so if you are looking to purchase a rental, this could be your opportunity to find a great bargain. If you don’t own and investment property yet, it’s easy to get overwhelmed with so much information out there.
Here are a few points to consider:
What’s your financial situation?
What have you saved for a deposit? What about other sources of money? Make sure that you have at least 10%, and some banks will want more. They also want to know where you work and will love to see that you have a secure job.
If you are relying on a First Home Owner Grant (FHOG), remember that more often than not they are designed for properties that you intend to live in rather than investment properties.
Do your research
What do you know about being a landlord? Do you have an investment strategy and are you clued up on how to evaluate a property to see if it will be a good fit for you? If not, then start talking to people and finding out everything you can about it.
No one does this alone
Outsourcing and delegating are probably the most important you’ll learn. You need a lot of people around you to make a successful landlord – Lawyers, building inspectors, buyers agent, financial planner, a property investment adviser, finance team, etc. Build your team and start putting offers in on properties.
Take the first step
You can have all the knowledge in the world, but it’s worthless if you don’t take action on it. Buying a house is a big deal, whether it’s your first or fifth one and you might experience ‘analysis paralysis’ at some point. You spend all your time researching but don’t have the confidence to take the plunge and do it. This is when your team will help you take that first step.
Are you going to invest in your future while everyone else is at the beach this summer?