Narrowing Down Your Property Investment Search
| “Narrow your search down to the state, the city, the suburb, and even the street!” I remember coming across this statement many years ago and at the time I thought it was a bit far fetched. My thoughts were that once you were pleased with the prices and other criteria within a suburb you were pretty safe with buying within that area. But how incorrect I was. This was brought home again to me the other day when a friend of mine was searching for a property and had chose on the area in which to buy because it was near the beach. The property was the only two storied house in the street and they wanted to buy it so that they could renovate and live there for some time. From the family point of view this seemed to be the answer, but these people are also property investors and so they are very conscious about equity growth in the long term. They chose it was a case of being ‘the best house in the worst street’ . That wasn’t 100% right but it was going to be the largest and most valuable house and their other concern was that about 75% of the houses in the street were rental houses and not always kept in the best order. It was a tidy street, but the houses were about 25 years ancient and unless sold and renovated they would keep the value of their property down. Capital Growth You can see from this example how you also have to be careful of the street that you buy in as well as the suburb. When making your investment property small list consideration needs to be given to factors such as these as well. Capital growth is an vital part of your property investing strategy and you don’t want to jeopardise it by having a property stuck in a ‘time warp’. Link2 Link3 Copyright Š 2010. All Rights Reserved.
“Narrow your search down to the state, the city, the suburb, and even the street!”
I remember coming across this statement many years ago and at the time I thought it was a bit far fetched.
My thoughts were that once you were pleased with the prices and other criteria within a suburb you were pretty safe with buying within that area. But how incorrect I was.
This was brought home again to me the other day when a friend of mine was searching for a property and had chose on the area in which to buy because it was near the beach. The property was the only two storied house in the street and they wanted to buy it so that they could renovate and live there for some time. From the family point of view this seemed to be the answer, but these people are also property investors and so they are very conscious about equity growth in the long term.
They chose it was a case of being ‘the best house in the worst street’. That wasn’t 100% right but it was going to be the largest and most valuable house and their other concern was that about 75% of the houses in the street were rental houses and not always kept in the best order. It was a tidy street, but the houses were about 25 years ancient and unless sold and renovated they would keep the value of their property down.
Capital Growth
You can see from this example how you also have to be careful of the street that you buy in as well as the suburb. When making your investment property small list consideration needs to be given to factors such as these as well.
Capital growth is an vital part of your property investing strategy and you don’t want to jeopardise it by having a property stuck in a ‘time warp’.
Link2 Link3
Copyright Š 2010. All Rights Reserved.
Tags: capital-growth, city, even-the-street, family, flat, houses, investment, Moving, Property, rights, search, street, suburb
