From first home buyers to seasoned property investors, Ray White Toowoomba is here to support your investment plans, so here are our Top 5 Tips to get your strategy started; or continue to grow your portfolio.
1. Finding the right property
The success or failure of your investment strategy could hinge on making the right property selection, so we recommend the following:
a) Seek a pre-approval from your finance broker or bank as it’s a great way to know borrowing capacity and the maximum purchase price.
b) Research the neighbourhood and find out about any future development applications, new schools or infrastructure that may impact on future values.
c) This is a financial decision, and it’s important to remember you are looking for an investment property with future growth potential and not a family home which has different considerations.
d) Research the current investment climate, trends and future predictions.
e) Consult a Ray White Toowoomba property specialist as you can’t be expected to know everything about the constantly changing property market.
2. Know your finances and budget
It’s important to understand the factors that impact investment revenue including rental yield, rates, body corporate, together with general repairs and maintenance are just a few of the ongoing costs you need to consider. Make sure you budget for these ‘operating costs’ to that cash flow remains positive.
3. Think long term
Property investment is a long-term strategy, and if you’re looking to make fast money it probably isn’t for you! In general, the longer you hold a property the greater the potential return. So, when buying an investment, it’s important to consider career changes and even plans to grow the family as they may impact on your decisions.
4. Get your loan structure right
There are more lenders and loan varieties than ever before and it’s important to find the right loan for your circumstances. Interest rates, fees, and other features vary between products, so we recommend talking to Ray White Toowoomba’s preferred mortgage broker Mick O’Shea from Loan Market who offers a no obligation review of your current and proposed lending.
5. Find a good property manager
A skilled and professional property manager is the key to navigating the world of property investment, and your Ray White Toowoomba property manager will support and guide you along the investment journey. Our team are committed to finding the right tenants and professionally handling the day- to-day management of your investment.