Now is the perfect time to start working towards your financial goals by investing in the property market.
As inflation continues to impact our everyday lives, with the cost of living, food and fuel all on the rise, now might be your last chance in a little while to effectively enter the real estate market.
However, it’s important that you don’t rush in and make poor decisions. To help you, here are just a few property investment tips to help you get ahead.
Understand Your Goals
Understanding your own short term and long term goals is going to be one of the first steps you need to take before investing.
Depending on what you are hoping to achieve, it can wildly impact how you invest. Someone looking to radically grow their wealth will have a completely different strategy to someone wanting to simply make enough money to live comfortably and be financially independent.
Some investors want to build up an investment portfolio that mainly consists of houses that have positive cash flow from rental income. They may focus on dual income houses, blocks of units, and other properties that suit this goal.
Other people may be looking to focus on properties that have a strong chance of growing in value so they can sell them later down the line.
These goals can sometimes align, and often it’s good to have a mix of different types of properties. However, not all places can fulfill these goals.
Once you understand your investment goals you can actually begin to do the research to understand how you can get there.
Buy Under Market Value
This one may seem obvious, but with the current climate it’s far too common for investors to rush in and offer over asking price just to secure a property.
While other people are in a frenzy and making impulsive buying decisions, you should be keeping calm and playing the long game.
There are few key things that can help you buy under market value:
- Improve your negotiating skills – at the end of the day, when you are buying a property you are dealing with people. This means you can negotiate. And you should ALWAYS negotiate, because otherwise you are just accepting whatever the other person is putting on the table.
- Build up a network and nurture relationships with real estate agents – if you have taken the time to invest in the people you are working with, you will find that you have more opportunities to buy under market value. With this extra insight you can have first access to properties from urgent sellers
- Do your research – do your research by investigating both the property’s current state and its history, as well as the properties in the surrounding area. This can give you the right information to make a stronger case for why you are offering under the market value, and increase the chances of the seller accepting your offer
Invest In Established Suburbs
Investing in established suburbs outside of major cities is a great option for many property investors.
As city property prices continue to skyrocket, you can start to look at short-term hotspots in areas currently unknown to the broader public.
The level of risk on these investments is often low, and you can enjoy a steady long term capital growth on these properties.
Many people are eager to get into cities, but making the wrong purchase in one of these areas could potentially cripple you financially.
Don’t Be Afraid to Ask For Help
These are just a few of the proven strategies that DDP Property have used to help 1000’s of clients achieve their property investment goals.
There is a huge amount of work that goes into making the right property purchases to achieve your goals, so it is a great decision to work with a business that can ensure that you have all the strategies and tools at your disposal.
DDP offers a wide range of property investment services including helping you research and negotiate for your next investment, property management, mortgage brokering, and much more.
Contact the team today and learn how you can build your financially free future!