If you are already on the way to creating an investment portfolio, then chances are you already have a good understanding of how to protect your investments and use them to your advantage. The prime goal when considering your investment strategies is making sure your revenue stays attractive as time passes. Below are 5 tips to improve your investment gains over time and ones that will work best for you:
1. Plan
Nothing in life will work smoothly unless adequate planning has been done and property investment is no different. Sitting down and analyzing your overall goals will set a clear path for your investment journey. Also, having a plan shows you where you should be heading and takes emotion and luck out of the equation.
2. Improve
When considering your investment strategies, remember that the more money you put into a home, the higher your eventual return will be. Improving the exterior and interior of your home, such as undergoing kitchen and bathroom upgrades will significantly increase your properties overall value and will pay off nicely in the long term if you choose to sell. Remember that energy efficiency is all the rage right now and will dramatically boost revenue. Having an attractive home will appeal to the right tenants with the best returns.
3. Equity Can Be Your Friend
Some real estate investors take out equity loans when interest rates and loan terms are favourable. The funds from this can potentially be used in other real estate investment projects, helping you continuously build your portfolio.
4. Have A Smart Lease Plan
The market area of where your investment property is located will have a significant impact on the lease you decide. The oversupplied area may mean the rent for your property may be lower than if your investment had been in an area with higher demand. Accepting a slightly lower yield with a longer lease may be a smart investment strategy because it will also ensure stable rental returns. If it’s a higher demand area where your property is situated, you may consider a short 6-month lease so you are left the freedom to potentially increase your rent costs.
5. Use An Investment Property Manager
Ensuring your investment strategies are smart and thorough, having a property manager assist you will set you up to receive the best potential returns. A property manager’s primary role is to constantly overlook your assets. They can also assist in tailoring an investment package to suit your unique situation. As they will generally have an intimate idea of what the market is doing, property managers can create informed strategies for any unforeseen circumstances as well as helping you choose the right tenants, helping with the upkeep of maintenance or repairs as well as weekly payments. iBuildNew has proudly partnered with Little Real Estate to offer you 3 months of free professional property management services. Click here to learn more.
Need help getting started? iBuyNew will point you in the right direction! Whether you are looking for apartments, townhouses or house and land packages, working closely with an iBuyNew property consultant, who understands the market, will help you find something suitable that’s tailored to your needs and requirements. Get in touch with them on 1300 123 463.
Breanna Taylor
Breanna Taylor is a third-year journalism and PR student studying at Swinburne University in Hawthorn. She has a strong passion for interior design and a growing interest in property development and renovation.
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