5 Essential Steps to Secure Your First Investment Property
Dilleen Property Group 2023
Taking the first step towards buying your first property may seem daunting, but with the right guidance, it can be a seamless and rewarding experience! In this blog, we'll guide you through the five essential key points that will pave the way for a successful and smooth journey towards acquiring your first investment property.
Knowledge is Power: Do Your Research
Before taking the leap into property investing, you should arm yourself with knowledge by immersing yourself in research. Tap into valuable resources such as YouTube, where you can follow the footsteps of successful investors and delve into property investment books for expert insights. Always seek advice from those who have hands-on experience rather than relying on the opinions of family members who may not have invested in properties themselves.
2. Saving for a Solid Deposit
When it comes to buying your first investment property, having a solid deposit is crucial. Aim for a minimum of 5% to 10% of the property's total value, including all associated costs like stamp duty, legal fees, and more. A substantial deposit demonstrates your commitment and financial capability to lenders, paving the way for a smoother loan approval process.
3. Prove Your Steady Income
To gain the trust of banks and lenders, having a steady income is crucial. Employees should provide PayG (payslip) documentation, while self-employed individuals need to furnish tax returns. For entrepreneurs, BAS (Business Activity Statements) statements are essential. Consistency in your income stream assures lenders that your cash flow is reliable and will continue uninterrupted.
4. Seek Professional Advice
Learning about mortgages and loans can be overwhelming, especially for first-time investors. That's where a trusted mortgage broker or bank comes into play. By seeking their expertise and securing a pre-approval, you'll gain more clarity in your property investment journey, as you'll have a realistic budget for the properties you can purchase.
5. Take Action: Begin Your Property Hunt
With a solid foundation of knowledge, financial readiness, and professional guidance, it's time to venture into the property market. Start your search by researching various locations and property types that align with your budget and investment goals. Then determine the state and location that suits your needs and growth prospects. Using the information you’ve researched and learnt, you'll be ready to make a wise investment decision.
Conclusion:
With these 5 essential steps, you are now ready to step into your journey to purchasing your first investment property. If you're looking for a reputable buyer's agency with extensive experience to help you with your property investment journey, we are here to assist you. Contact us here to learn about our investment strategy and discover how we can guide you through your investment journey.
Disclaimer: This is not intended as legal, financial, or investment advice and should not be construed or relied on as such. Before making any commitment of a legal or financial nature, you should seek advice from a qualified and registered legal practitioner or financial or investment adviser.
