Tips for Buying an Investment Property

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Tips for Buying an Investment Property
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Buying an Investment Property

• Whether youre an experienced property investor
  or just starting out, its crucial to do your
  homework, and have a checklist to refer to when
  making a final decision on buying a property.
• Or to help you to choose between investment
  properties.

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• Here are the Key Factors to Consider When Buying
• An Investment Property

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Land

• As land is the key driver of capital growth, make
  sure you assess the land versus building ratio.
• If capital growth is the key focus of your
  investment strategy, aim to find properties where
  the land accounts for at least 70 of the total
  value and the building a maximum 30 of the value.

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Location, location, location

• Consider the attractiveness of the location to
  potential tenants. Most people want properties
  close to transport, schools, shops and lifestyle
  facilities.
• And particularly in Perth, many want to be near
  the ocean or river. Assess rental rates of
  comparable properties to ensure youll be able to
  afford the holding cost.
• Also consider if there are any reasons for likely
  growth of rental prices in the area, and for your
  particular property.

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Not All Streets Are Equal

• Look at the location of the property within the
  suburb. Is it in a superior or inferior location
  or street?
• This can affect rental rates and resale.

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Maintenance

• Think about the expected maintenance costs of the
  property.
• Anticipating if they are likely to be high or low
  can impact your final decision.

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Historical Growth

• Consider both the long- and short-term historical
  performance of the suburb. If it has started to
  do well, get to know why and why you expect it
  will continue to do so.
• It is imperative to assess prospects for capital
  growth in the suburb and of the property.
• Read up on different suburbs, and reports about
  how infrastructure, demographics, economic and
  social trends may affect growth.

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Professional Advice

• If the process seems overwhelming or daunting, or
  you just want to ensure youre getting the best
  return on your investment, seeking advice from a
  buyers agent is a great option.
• If the seller has a professional on their side,
  you probably should too.
• Buyers agents have inside knowledge and access
  to data and industry networks to not only help
  you find the right property for your strategy,
  but know how to negotiate, so you can get the
  lowest price and best terms and conditions.

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Check These Out!

• Property Wizards is a multi-award-winning buyers
  agency. From finding the right investment
  property Perth has to offer, to researching and
  negotiating the best price, we work for
  Australian property investors and homebuyers, as
  well as overseas and expat buyers.
• We provide you with the advice and assistance you
  need, ensuring you make the right decision when
  you choose to invest in property.
• For more info on investment property buyers agent
  
• check out https//www.propertywizards.com
  .au