6 Property Investment Tips to Avoid 3 Traps

Property Investment Tips

Be logical and review these six groups of investment fundamental tips:

1. Location: Does it have schools? Shops? Day care? Car parking? Major shopping area? Cafes? Sporting facilities?

2. Transport: How do people get to work in that area? How far is it to bus stations or train stations?

3. Demographics: Look at the potential demand of the property by matching the household demographics to the property

4. Rent-ability: Review the logical layout of the home, does it have good sized bedroom? Are there usable living spaces inside and outside, other features such as storage?

5. Potential: Is there an ability to increase the value of the property through renovation or development? Check the surrounding properties cannot become high density blocks of units.

6. Affordability: Stay within the 2nd and 3rd quartile of prices in the suburb for price and rent.

Property Investment Traps

1. Brains vs Emotion: Avoid buying with the heart and forgetting the head.

2. Look beyond the bargain: Avoid buying that ‘bargain’ property – there are usually major negatives that will stifle growth. If it sounds too good to be true, it usually is.

3. There may be no such thing as perfection: Don’t miss good opportunities because you are waiting for the ‘perfect’ house. Every house will have trade-offs and compromises.

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