Handy Investor's Checklist
Things to consider
Investing for many is a whole new world. While there are many considerations to make prior to purchasing an investment property we have a few key points to consider below. Take a look at our basic Investor’s Checklist below.
Keep a Buffer
It is very important to understand your financial position. How much do you earn? How much does it cost to live? And how much can you afford to invest? Remember that costs such as stamp duty and insurances are in addition to the settlement price. There will also be legal fees to consider.
Really plan - do your research
When you are investing in property, think of it more like a business than an investment. There will always be decisions to be made and you will need to make those decisions based on getting the best return on your investment, not on emotional considerations that might pose themselves.
Nine times out of ten there is never the perfect time to buy.
The time to purchase, generally speaking, is when you are ready. There might never be the right time to buy, but we all wish that we bought, or bought more ten years ago. It seems like that will continue to be the case, so be brave, do your homework and decide when is the right time for you.
Allow for the what ifs
After the excitement of purchasing your investment property, keep in mind that you may need to come up with extra cash to pay for things that come out of the blue.
Also keep in mind that your rent needs to cover the ongoing costs of the property, rates, insurances, mortgage, repairs etc, so resist the temptation of seeing it as extra income and adding it to your lifestyle.