Log In

Property Investment Tips.

There are no clear instructions when it comes to investing in property. The aim of the game is to maximise your “capital growth” which can be tricky to achieve. Here are eight tips to help you successfully invest and grow your wealth!

Buy in an up–and–coming area

It’s true when they say location matters in real estate. To increase the value of your property, locations that are still developing offer the greatest return and are cheaper to buy into. High–end or unsafe neighbourhoods don’t have the same potential for growth.

Budget conservatively

Make sure you borrow under your limit and consider future changes in the lending market. Don’t underestimate costs and budget for loan, insurance costs, and maintenance repairs.

Choose a flexible home loan

When buying an investment property make sure you choose a loan that suits your lifestyle. Kina Home Loans have monthly repayments that can be tailored to your income.

Buy with your head, not your heart

It’s important not to get caught up in the emotions, although this is easy to do! It’s ideal to strike a balance with an affordable, functional property that has one or two features you really like or that would resonate with tenants.

Maximise the value

Investment returns depend on many factors including property condition. Get creative and think about how you can boost your property’s value for the least amount of money. This might mean adding a new room or repainting the home.

Renovate, but don’t overdo it

While it’s important to increase the value of your home, renovations cost money. Your property doesn’t need to be top of the market. Lower–end houses that look modern but have middle-of-the-range fixtures sell too. 

Have a backup plan

Make sure your property checks out as a rental in case the market drops. The housing market can fluctuate at any time due to the economy and world events such as the pandemic.

Consider non-traditional investments 

An investment property doesn’t have to be a house. You could invest in an office space, storage area, shopfront or warehouse and rent it out. The world is your oyster! 

Need to save our tips for later?

 

Enter your email and click submit to receive a PDF of this page, along with other useful information from Kina Bank.

Hubs Form