Buying An Investment Property

Investment Property

 

 

 

 

 

 

 

When looking to buy an investment property, there are many things you must consider before becoming  a landlord.  It’s not just about buying a property and renting it out, it also requires an understanding of  the legal responsibilities and rights of both yourself and your future tenants.

Some other considerations to make when looking to buy an investment property include capital gains tax,  GST, insurance, land tax, security and maintenance of the property.

At Matthew Lawrence Real Estate, we believe that if you are able to gain an understanding about what motivates tenants and are able to make an informed decision about your purchase – then you will increase the rental returns you receive.

 

Houses, Units or Town-houses

There is much debate over whether houses, units or townhouses are the best investment for people wanting to invest in property.  Many believe that the percentage return from a unit will be higher than from a townhouse which will be in turn higher than that from a house.

 

First impressions are critical when a prospective tenant inspects your property

First determine the sort of tenant you are wanting to target – a well presented property will achieve top market rent and will usually attract better quality tenants.  This equates to a higher investment return, together with fewer and shorter vacancy periods.

 

Choosing an investment property that will achieve a high return

The most important factor that determines how much rent you will receive for your investment property is the number of features it has.  Certain features appeal more to some tenants than others and will more likely improve the amount of rent that can be achieved.  This will depend upon the areas as well as the type of property and tenants that you are attracting.

 

Number of Bedrooms

The number one criteria that tenants have when renting a property is the number of bedrooms.  Typically a three bedroom property will achieve a higher rent than a two bedroom property, because the more the bedrooms there are the more people can live there, so the more people that are occupying the property the more rent they can afford.

 

Location

The location of a property for tenants is an important consideration as properties that are close to other amenities such as easy access to cafes, restaurants and shopping centres and business districts will increase demand as this is where people work, shop and socialise.

 

Air-conditioning

Having air-conditioning such as heating and cooling improves the comfort and live-ability of a property and is a significant advantage for anyone who is looking to rent their investment property to a prospective tenant.

 

 

“Experience + Passion = Maximised Results”

 

Leave a Comment

Name *

Email

Website