We’re now well into a new year, and with a new year comes a brand-new set of goals and priorities. If one of your top priorities this year is finding a brand-new investment property, here are some tips on where to start.
Time for a change?
Those looking to invest in a brand-new area or a completely different type of property can find a whole new world out there. A new range of tenants and suitable properties, but also a new set of challenges. That’s why it’s so important to do your research. If for example you’re thinking of investing in a more affordable, regional part of Australia, look at the area’s current rental yield, and vacancy rates as these can be vastly different from urban areas.
Top tip: If you’re looking for a completely different type of property or area, make a list of must-haves, versus wants and be prepared to research your new location thoroughly. Chatting to a local sales consultant can help.
Thinking of developing?
If it’s the ‘development potential’ of a property which is your main reason for buying it, check to see what you can and can’t develop before the purchase. Councils limit what and how high you can build, how much and what part of your section can be built on, and activities you plan to do there (such as operating a small home business for example).
Top tip: Check with your local council about development restrictions before making a purchase.
Find out how the neighbourhood might change in the future. New buildings and businesses and even motorways may be part of the area’s plan. Don’t assume a quiet underdeveloped area will stay that way forever.
Top tip: Ask a knowledgeable sales consultant about possible changes to the local area. A well-informed sales consultant should be across major developments in the works.
Don’t forget about the view
Check your new property’s views won’t be built out, or even disappear behind recently planted trees.
Top tip: Ask the local council how they will manage these plantings once they get high enough to block views and even sunlight.
Buying a house in a new area you’re unfamiliar with can be exciting and appeal to a brand-new demographic of tenants, but it’s important to do your research. Your Harcourts professional can advise you on the range of issues involved with such a change to ensure you make the most of your new investment property.