Before you invest in property market
FOR buyers looking to start or expand their investment portfolio, the decisionmaking processes are vastly different than buying a home to live in.
And, according to the Real Estate Institute of Queensland (REIQ), the current economic conditions mean investors need to be extra careful in how they choose and manage investment property. This gives them more certainty on interest rate costs.
Savvy investors know that a well-considered maintenance strategy (such as cleaning carpets and keeping landscaping tidy) can be effective in achieving optimal rents and reducing tax.
Depreciation also works in your favour when you own an investment property. Investors should consult a tax advisor to find out the tax pros and cons of investing in rental property.
An investor’s aims should be to maximise their return and protect the value of the asset into the future.
Managing a property takes time and expertise if it is to be done properly.
A property manager can identify suitable tenants, check references, and ensure that documentation is in order in relation to leases, rental bonds and payments.
They will also take care of ongoing communication with tenants, conduct inspections and coordinate maintenance of your property.
REIQ accredited agencies complete compulsory compliance and professional development training and have access to all the latest legislative and property market updates.
When it comes to donning the investor’s hat, capital growth continues to be the fundamental goal for most residential property investors.
Home buyers all want their patch of land, but it is land value, not land size, that drives capital growth.
And if you don’t know where to buy, follow the prevalent demographic trends and buy where demands exceeds supply.