DON’T BE A LOSER…

When buying property think with ur head not ur heart!

Leave all the gushy stuff out of it. If you truly want to make some decent $$$’s when buying property, you need to use your noggin especially if you’re a property investor!

Investors really need to must think differently than a typical home buyer. All their decisions need to be made with a view to making the most profit or income on the property, rather than impressing their mates or relatives.

Here’s 5 simple ways to put the emotional stuff behind you and think like a hard-nosed property investor.

1. The old saying about buying the worst house in the best street is a load of garbage. You don’t want to buy a property that needs months of renovations before tenants move in and start paying you an income. Unless it’s your investment strategy to do up dodgy homes, aim for something that is low maintenance and will be attractive to tenants.

2. Be bland when buying. There’s little room for fluoro orange feature walls in an investment property. Neutral colours will make it much easier to rent out because as furniture can easily be matched. Remember that you’re not buying an investment property to suit your own tastes, but something that will be tasteful to most of the population. The average tenant won’t pay a lot extra if the home has a spectacular water feature and swimming pool in the backyard.

Not an investor? A chic, crisp, plain yet modern theme will often be far more appealing when selling your property & can be dolled up with soft furnishings. This allows a potential buyer to do as they please with the property!

3. Match the property’s location with your prospective tenants. If your target tenants are likely to be students, make sure it’s close to public transport. If it’s a family, there should be schools nearby. It all comes down to researching the area and trying to understand who lives there and the services they need.

Not an investor? Location is ALWAYS key…..that’s possibly THE most important rule of thumb…..

4. View it as a business. Investors should evaluate their property every six months and ask the tough questions. Does it need extra investment in renovations or improvements? Do the tax benefits still work for you? Are you still getting the best finance deal? Is it delivering you the best possible investment return? Real estate investment is not fire-and-forget.

Not an investor? It’s still a good idea to view your home as a business. Give it the same attention to detail you would your customers, your job, your business. Take good care of your property. Keep it well maintained. Don’t let things fall down around you & start to look shabby. It will only cost you more to fix in the long term. After all it really is a business of a type…..no doubt you want to make money out of it one day, right?

5. Have a long-term plan. Most of us don’t have a long term plan for what we will do with our own home (that said, we still tend to move every five or ten years and pay exorbitant stamp duty costs when we do). But an investor needs to think about their exit plan before they buy, and write down that plan.

Not an investor? The same thing plan should still apply. Have a long term plan. It’s always a good idea.

Treat your money-making purchase with much attention and remove all emotion, then dealing with it will be that much easier.