Lifestyle

Property investment essentials

Property investment essentials

Buying an investment property can and should be as important as buying your own home. Knowing what to look for before you buy can help the property investment to have strong appeal and help pay dividends.

Location

The greatest appeal for an investment property is its location. Make sure you carry out extensive research to see which areas have strong rental demand. Good sources for research include investment-property media and talking to real estate agents.

Transport

People who rent often want to live close to public transport. After you’ve have narrowed down your list of areas to buy in and start inspecting properties, work out how far away the property is to train lines, bus stops, schools and shopping centres.

Parking

The appeal of a parking space will depend on your target tenants. For example, a family is more likely to require a garage than an inner-city-dwelling young professional. Work out who your target demographic is and whether parking would be advantageous.

Condition

A property in good condition will garner a lot more interest from tenants than a poor property in need of repair. Make sure your investment property has been well maintained.

Promising areas

Consider buying an investment property in promising and new growth suburbs. New growth areas are sometimes built around transport links, which will help with the rental appeal of your property.

Light

Australians have a penchant for outdoor living and a property with outdoor space, such as a balcony or courtyard, can add significant appeal to an investment property.

Outdoor space

Consider buying an investment property in promising and new growth suburbs. New growth areas are sometimes built around transport links, which will help with the rental appeal of your property.

Ongoing costs

The future cost of utility bills can add to the appeal of an investment property. Get a quote to help you work out how much future electricity and gas may cost for the size of your house and target renters. You can then use this estimate for prospective tenants to help calculate their budget.

Alternatively, installing solar power could be a great way to appeal to renters who want to save on their ongoing energy bill costs.

Buying an investment property isn’t an easy task, but trying to maximise the appeal of your property to prospective tenants will help ensure it’ll be in high demand.