Buying Investment Property: Where to buy and why to buy
Before you buy an investment property you need to make sure it is the right type of property, in the right location. Our free Property Investment Checklist is a great starting point to help you buy right and avoid the many pitfalls associated with buying an investment property.
At Latte Property we strive to help you identify a quality property with the greatest potential for capital growth, the highest rental returns and that will deliver maximum tax depreciation benefits.
We have included a few pointers below that are a small sample from our fullProperty Investment Checklist.
Where to start:
- We have found that drawing a circle 15 kms around the centre of the CBD on a map is a good starting point. Bearing in mind it is often wise to stay at least 2km out of the actual CBD to avoid potential oversupply issues.
- Make a list of the suburbs within your circle that you wish to target
- Research as many pieces of information as you can for each of those suburbs such as sale prices, rental yields, demographics of who rents in the suburb (request one of our many Property Research Reports that are available, many of which we provide on a complimentary basis)
- Check demographics in the Suburb, especially growth, density and population numbers.
- Aim for properties that are close to schools, shopping centres, cafes, restaurants, university and other features that quality tenants will be looking for.
Would You Like Fries With That?
- If buying established it can be a good strategy to look for something extra that others may not have considered. For example, does the land size provide potential for subdivision (or to increase the size of the existing dwelling) either of which would increase value and the marketability of your property?
How To Maximize Depreciation & Reduce Holding Costs:
- Remember, new properties and Off The Plan properties provide much better depreciation benefits which means your ongoing contribution will be much lower and may help you invest in additional properties either now or in the near future.
What to Buy:
Download our Checklist for extra details on whether to buy a house, unit, apartment or townhouse and how to ascertain what tenants are wanting to lease in a given area.
Leverage from our extensive knowledge and experience to maximize your chances of success on your property investing journey.
Any Questions? Ask Us Here
Download our Free Property Investment Checklist
Darryl Simms specialises in helping individuals invest in property for less than a latte a day, reduce their tax and create enjoyable lifestyles.
Latte Property has a large following of successful property investors who have enjoyed professional guidance in the purchase of quality new apartments, new townhouses and new homes.
Darryl is also the Author of “50 Must Know Property Investing Tips” and is currently busy writing his next Property Investment publication.
Darryl’s favourite quote is:
“Try not to become a man of success, but rather try to become a man of value” – Albert Einstein
Contact Darryl at www.latteproperty.com.au/ask-darryl
This article first appeared on LinkedIn Pulse on March 10, 2015