You’ve done your research, found the property that meets your investment objectives, now you need to close the deal in the best way possible! It helps to use a competent and qualified conveyancer or solicitor to handle the legal side of the purchase as this will facilitate a smooth settlement.
A pre-approval gives you the comfort of knowing that a lender has made an assessment on how much you can borrow based on the information you have provided to them and have satisfied basic lending criteria. A pre-approval is not an absolute guarantee that the lender issuing the pre- approval will approve your finance application.
House or Unit? New or Old? This question comes up all the time – both can be excellent investment options and both have pros and cons. If you have made a decision on your investment strategy – i.e. capital growth, income or both then it should help the decision making process if you weigh the choice up against what you are trying to achieve.
Using the equity in your own home may give you the buying power you need to firm up your application with a lender. The equity in your home is essentially the difference between what a lender deems to be the value of your property and any outstanding debt against the property.
Buying an investment property is one of Australia’s most popular and talked about investment strategies. It has been a great wealth generator for some but it has also been a nightmare for others. As with all investments, you should approach a property investment purchase with a clear investment strategy in place.
In a hot property market like we’re experiencing at the moment, it can be difficult to beat the competition at auction. And with auction clearance rates running at around 80% in most capital cities, it’s clear that the majority of bidders miss out on a property they’ve chosen when the auction gavel comes down. So, how can you avoid going to auction? What can you do to secure a property when you don’t have deep enough pockets to outbid the competition on the day?
Choosing the right location is one of the most important factors in the success of a property investment. The right location can differ according to the kind of a property investment you choose – commercial or residential. However, in both cases, the principle is to find a property that will be popular with tenants both now and into the future, as this will support your requirement both for a steady rental income and future capital growth.