Buying A Property?
For most of us buying a property is our single, biggest investment and main source of wealth. The decisions you need to make and the challenges that you face can be both exciting and daunting and require extensive research and planning.
HOW MUCH CAN YOU AFFORD?
How much you can afford to borrow may, to some extent, dictate where you can buy. Firstly seek professional assistance from a lending consultant to confirm your borrowing capacity before you start looking. Your borrowing capacity may be very different between lenders. With so many financial institutions offering so many options it is a good idea to shop around to find a mortgage that best suits your individual circumstances. Pre-approved finance can mean the difference to the success of negotiations on a property. Likewise if you need to sell before you buy, having an unconditional contract on your current property will put you in a better position when negotiating the new contract.
WHERE DO YOU WANT TO LIVE?
Everyone in real estate will tell you one of the most important attributes to consider is “Location Location Location”. For most of us this does not mean ‘millionaires row’. However, you should consider growth areas with good access to local facilities, public transport, employment, schools, medical centres and shopping centres. Spend some time driving around different suburbs to get a feel for them.
WHAT TYPE OF PROPERTY DO YOU WANT TO BUY?
Make a list of what is important to you – number of bedrooms, bathrooms, garaging, two storey, single level, air conditioning, big back yard, low maintenance, outdoor entertaining, pool, suitability for pets, views or open plan living areas. Have you considered living in a gated security complex? Will your finances cover body corporate fees? Are you prepared to renovate? Decide on the features you just can’t live without and those you will be prepared to compromise on.
BUYING AN INVESTMENT PROPERTY
Creating a balanced investment portfolio to increase your personal wealth is these days considered essential for your financial future. Selecting the right investment property is the key to profitability. The secret to regular investment income is a property that is highly sought after by tenants, both in style and area, a property that is in excellent condition and well maintained (with limited outgoings), and a property that is proficiently managed on your behalf.
