Things to Consider Before Investing in Property


Posted January 12, 2016 by SolutionHomeLoans

A property investment may give a steady capital appreciation, tax benefits and a steady rental income.
 
A property investment may give a steady capital appreciation, tax benefits and a steady rental income. But there are certain points one needs to keep under considerations while purchasing an investment property with the motive of boosting up your returns.

1) Good Returns:
You will get the returns on your investment through the capital gains and rental yields. You get the typical rental yields from the locations where you had planned to buy your business property and are likely to form a view over the price appreciation.

2) The first time investors:
If you are a first time investor then you must first of all find out how much you can borrow and then take into account what all other types of costs you will have to permit for various purposes such as building inspections, insurance, stamp duty and solicitor’s fees to name a few. Once you are done with your search for the right property it is advisable to get a pre-approval done from your SHL mortgage broker.

3) Searching for quality tenants:
As the period of commercial leases are longer than the residential leases, searching out a good quality tenant is very important for the property value plus the rental returns. One needs to be very cautious while shaping up the lease agreement and must very carefully consider all the terms such as the rent reviews.

4) The potential of development:
The development potential is another very important to be considered. The long terms returns can be huge if the property has the possibility of expansion as well as further improvement in coming future. Make sure that any existing lease agreements for clauses that can cause any kind of restriction or prevent you from further development.

Solution Home Loans will also help you find the right kind of finance that will set you up on the right track in building your property portfolio sooner than you kind.

For more information feel free to visit us on www.solutionhomeloans.com.au
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Issued By Solution Home Loans
Country Australia
Categories Business
Last Updated January 12, 2016