There are over 82,000 houses in Canberra. The opportunity to invest in property and make a sizeable profit is immense in the area. Being an investor in property can be stressful because you need to count all the costs, legal fees, and commission. However, if you want to venture into the booming business of investment in properties in a place like Canberra, it is wise to do your research about the place ad the prevailing market to start out strong. Before you start looking for an investment property Canberra, here are five tips that will help you get started on your real estate journey.
1) Create a Budget for Your Property Investments
If you want to invest in property, you’ll need money to pay the deposit, legal fees, and other costs such as mortgage insurance. When you’re thinking of how much cash you will need, make sure that you include these expenses in your budget.
Here’s a little tip: if you can’t afford to pay for all the expenses with savings alone, then it’s best to look for an investment property that fits your budget.
2) Find a Real Estate Agent That You Can Trust
Like in any industry, it’s essential to find a legit and reliable agent. Ask your Canberra friends or family members who they recommend for an agent who buys and sells properties in the area. Check with the Canberra Investment Property Agency (CIA) and determine if your agent is top-rated.
3) Be Realistic When Choosing a Property to Invest In
When looking for an investment property in Canberra, make sure that it’s something you can afford and maintain. Can you afford to pay for costs such as maintenance fees and the like?
Take note that some properties may need repairs. If you are not skilled in property repairs or don’t have the time to do it, look for a home that doesn’t require much work.
4) See if Canberra Investment Property is Worth it
If you are thinking of buying an investment property but aren’t sure how much it will make, there’s a quick way to find out. You can do this by enquiring about the prevailing property prices in the city at present and then comparing it with the past rates.
For instance, if you want to buy an investment property in Weston close to Kingston Beach, then take a look at past listings and see how much they have been sold for.
Canberra has a total population of over 4,30,000. Make the most of your investment by looking for properties close to schools, universities, public transport lines, and even hospitals. Most likely, these places have a growing population.
If you find an area with high demand, you can expect that its value will increase. Plus, it’s usually easier to sell your property if it is close to these amenities.
5) Know Why You’re Buying a Canberra Investment Property
Make sure that you know your reason for investing. Are you doing it to live off of the rental income? Or is it because you want to purchase an asset with steady cash flow? Potential investors invest in real estate for several reasons, so make sure that this is important to you before investing.
Overall, if you want to buy an investment property, it’s best to familiarise yourself with the process first. Again, find a reputable agent you trust and ask them for advice on getting started as a new investor. You can then be confident that your real estate experience will benefit from the ins and outs of this kind of purchase in your future.