Why Invest in Rental Property?
Investing in property can be highly profitable and provide future security for you and your family. It is crucial that you are correctly informed by suitably qualified people when it comes to assessing the risk versus return on this investment. Some properties will have good rental return but may not necessarily increase in value, where others may be the reverse. Many people look back and think they should have bought a property in a particular area once values in that area have increased, so it is important that your initial purchase is a good one. Many investors make the mistake of not increasing their portfolio or not holding onto investments for as long as possible.
Some of the benefits of investing in property include tax savings, having a tangible and reasonably stable investment and being able to use equity in one property to fund another property.
When considering an area in which to invest, it is important to consider features which will attract potential tenants, these may include:
Location in relation to schools, shops and transport
Security, gardens, outdoor area and parking
Plenty of storage (cupboards, garage etc.)
Additional home comforts (dishwasher etc.)
When the property is of a higher standard, you will find a higher standard of potential tenants will be attracted to the property.
Financing an investment property can be done in a number of ways. It is wise to consult a mortgage broker for the best possible financial advice. We are able to refer you to a mortgage broker who, on your behalf, liaises with the banks and is able to offer you deals that most banks will not offer you directly. A mortgage broker understands the mortgage structure required for property investments and the best thing is….. This service does not cost you anything.