Welcome to our Property Investment Guide.
Whether you’re a seasoned investor or just starting out, we’re here to provide help and advice about financing your property investment.
Take note that this blog post is just a summary of the “Property Investment PDF Guide” that is available in our downloads page. You can definitely download the complete guide here.
Now, let’s briefly walk you through the aspects for getting the most out of your property investment.
Planning Your Future
Most people make investments with a view to strengthening their financial future. It’s important to know why you’re investing in property and to clearly define your goals.
Here are some property investment questions your should answer:
- What are the costs of buying and selling?
- Do you know the costs are associated with borrowing the money?
- What is the rental potential or future capital gain potential of the property?
- As you take these factors into consideration, what return on your investment can you expect?
Making your decision
When making a significant investment, you need to consider the pros and cons before making your decision. Check the list below.
Pros to property Investment:
1. Safe investment
Steady population growth means there is likely to be a long-term demand for more property. This will help it hold its value and creates potential for capital gains.
2. Rental income
Take note that property in desirable areas can generate reliable rental income.
3. Capital growth
The longer you hold your property, the more potential for it’s value to increase over time.
Cons to property Investment:
1. Rent-free periods
There may be times when you can’t find a tenant and the property will remain vacant. This means you’ll need to plan for the costs yourself over that time.
It’s sometimes difficult to sell property quickly, as opposed to other investment types such as shares.
NOTE: You may check the full list of the pros and cons on Page 8 of the “Property Investment PDF Guide”
Property investment finance strategies
When borrowing for an investment property, it’s important to consider your budget and cash flow, including some margin for any unexpected expenses or interest rate rises. Once you’ve covered all the bases, it’s relatively straightforward. Your tenant pays down your mortgage and if you’ve done your research and bought the right property, it’s value gradually increases over time and generates equity.
Choosing the right loan
The right loan and loan structure will mean your money works better for you. But with a variety of investment property loans available with different rates and features, deciding which type of loan is right for you can be overwhelming.
The good news is that we at Key Choice Group can help you understand your options and assist you during the decision-making process. We are finance lending experts and we do all the legwork for you. We can access a wide variety of investment loan products, from a range of leading lenders.
The factors above are just one part of the whole property investment process. You need to know too about the Investment Essentials and how you could Prepare for the Next Phase with your purchase.
We know that establishing a property portfolio is just a dream for many people. Making it a reality all starts with the right lending advice—and we’re here to make that happen for you.
By using our services, you’ll have a specialist who is dedicated to helping you achieve your goals and looking after your needs. We’ll work hard for you to get your investment loan approved. We’ll work closely with real estate agents, conveyancers and lenders throughout the process and put your needs first, every step of the way.
No matter what changes, whether it be your personal circumstances, your employment situation, interest rates or the economy—we’re here to give you expert advice for all your finance lending needs.
Please contact the team at Key Choice Group for more information.