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.