Are you planning to grow your money through property investment? Is acquiring two or more properties one of your big-time dreams? We at iBuildNew welcome you to our complimentary and exclusive property concierge service. We offer you the necessary tips for building and expanding your property portfolio through purchasing.
We have house & land packages for you to compare across Victoria, New South Wales & Queensland. In planning for your investments, you can count on our home building experts to present you with all of the options to compare. Anything you desire is possible once you know where you should start and where you are heading. Find out some of the tips we can give you in creating your property portfolio from scratch.
1. Start Right
One of Australia’s leading property investor, Sam Saggers, once said that the first property bought for investment will determine your future opportunities in the industry. You have to make sure that you do the right thing when purchasing your first investment property. Start strong and choose a property that is in your budget and that is in a location with great growth in the future. If you will be relying on a rental income, then choosing a property such as a turnkey house and land package means that as soon as the property is completed, it is ready for tenants.
2. Set Your Goals
Learning to assess and understand your current financial situation will help you plot your goals. Having a clear direction to financial security through property investment will make it easy to work towards your goals.
3. Expand Your Knowledge
Investing is rarely taught in school even in your college years, unless you major in finance. If you are already exposed to business and investing, you need to constantly be updated about the market. This is the reason why you need to do your own research and expand your knowledge in investing if you want to be successful in this field. Success in the property investment industry takes a lot of research, patience, strategies, and a little luck. If you need help knowing where to start, our new home advisors are immersed in the property market and up to date on the latest trends and news.
4. Take Business Seriously
Buying, selling, and renting a property is one form of investment. This literally means business. Investing without yielding any positive cash flow can’t be considered a good business. When you enter this industry, you must be planning your portfolio ahead in order to make your business profitable. Ask yourself with the questions, “When can I get the return from my properties?”, “How can I acquire my next property?”, “Is the property I’m purchasing good for my next investment?”
5. Create Strategies
When investing in properties, you don’t simply make money. You need to know different strategies for you to gain profit, as well as grow your property portfolio.
a. Capital Growth-Focused
This strategy is done by buying a property and letting it sit for a limited timeframe, then putting it as an investment property for sale with the expectation of earning a profit and getting back your capital. In order for this strategy to be a good one, you need to buy property in an area which has the potential of developing into a major market.
b. Cash Flow-Focused
Instead of focusing on capital growth, a cash-flow strategy focuses on rental income. This is usually adapted by first-timer investors in order to get a sure-fire start-up. However, you need to be ready to face lesser tax benefits than with the capital growth strategy.
c. Renovation-Focused
This strategy is done when you find old properties which you can improve to sell at a much higher price. This strategy is the most risky, and can result in a whole lot of effort for little return.
6. Evaluate Your Progress
You must regularly perform a thorough assessment (perhaps monthly or quarterly) of your investment property, especially if you have it leased in order for you to know its profitability performance. By doing this, you can easily determine if you are doing well in expanding your portfolio.
Turn to the Experts
We specialise in presenting the best builders and developers in Australia on 1 website which will help you expand your property investment portfolio. If your interested in an investment property that will help you start or grow your portfolio, make sure you give us a call on 1800 184 284 or book a call online now.
Zoe Langenberg
Zoe is passionate about coffee and interior design. You can find her most weekends exploring an art gallery or devouring a good book.
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