How to Find a Rental Property That’s Perfect for You
You’ve decided to get into the property market and purchase a rental property. You want to make money – not millions of dollars (well, maybe not just yet) but you’d like a tidy return for your first foray. Something to keep you ahead while you learn the ropes.
How to find a rental property that’s perfect for you and your situation?
Think about why you want to buy a rental property. An investment for your children? A little bit of extra money? The first step in a multi-million dollar portfolio? The reasons behind your decision will help you select the property ideal for your situation. Be honest with yourself. Make notes, sit on them for a few days, and then revisit what you’ve written.
Consider your budget. It might not be the first thing you think of, but if you purchase a property and then have difficulty finding tenants, that’s money you’ll need to fork out in the mean time. Can you afford the repayments until a tenant agrees to move in? If the property requires substantial repairs, can you afford to pay for them? Repairs are tax deductible, sure, but you need the finances up front to cover the costs and not everyone accepts credit, especially trades people.
Advice vs Unwanted advice
Listen to what everyone tells you – and filter what you’ll keep. Like having children, everyone has an opinion and story about their individual experiences. The person who rubbishes your choice might be feeling insecure about their own choices, so thank them for their advice and file it away. Learn from it and move on. It’s your choice, your investment, and your money.
Consider your Time
Take into account the time you’ll need to invest, not just your money. Is it an older property, with the possibility of requiring ongoing maintenance? Or is it a new property with new fixtures and equipment? Is it in a flood-prone area (or on the low side of the street), or a suburb hit by frequent storms and hail damage? Are there many old, tall trees close to the house that could require removal, or be a threat in high winds?
If it’s in a multicultural area, think about the likely renters – some cultures prefer houses on the high side, or on the even (or odd) side of the street. A property in a favourable position on the street commands more money.
There are many things to take into consideration when finding a rental property such as how you’ll manage it. Read our 10 tips to managing your investment property. Here at Aspect Estate Agents we specialise in investment properties; as such we’re happy to help you find the rental property perfect for you – speak with us today.