Gaining your first home on the property ladder
Investing in your first property is an exciting time and a dream come true for most Aussies. With the right strategy and focus, you can gain a firm footing on the property ladder, whether it’s your own home or your first investment property.
Purchasing an investment property provides sound capital growth and the potential for a good rental yield (you may want to rent your home out in the future). So look for properties that are in a good location, close to shops, public transport, schools and restaurants, but preferably away from main roads.
Saving for your first investment property
For first time buyers, putting together a solid savings plan is essential if you want to get on the real estate ladder. Although this can be a challenge to many young people, the earlier you start, the sooner you will own your own property. So make sure that you save a significant portion of your income every month, and pay off any high interest debts, such as credit cards.
If you already own your own home and this is your first investment property, you might be able to access some of your equity to use as a deposit. This is a popular strategy that works well if you select the right property.
Know your target market
Property investment is a business where you aim to make money, either through capital growth or rental income (hopefully both!). The trick is to know the rental market and to buy properties that match a renter’s needs.
So for example, if there are a lot of young families in the rental market (as on the Sunshine Coast), they will want to live in close proximity to healthcare facilities, schools and shops. Young single people prefer to live close to a café culture, nightlife and the beach, and retirees like low maintenance properties that allow them to come and go as they please.
Securing your finance broker
Ensure you have a finance broker working for you. Your broker will champion you and your circumstances to the banks and be your voice when it is needed most. So take the time to research who will work for you! Some of the best finance brokers on the coast have worked with a number of our current and past clients. Feel free to ask for their details here.
Call Thompson Sustainable Homes on 1300 90 40 40 for more information on investment house and land packages.