𝗙𝗔𝗢 𝗟𝗮𝗻𝗱𝗹𝗼𝗿𝗱𝘀: 𝗪𝗵𝗮𝘁 𝗠𝗮𝗸𝗲𝘀 𝗮 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗮 𝗚𝗼𝗼𝗱 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁?

Whether you’re a seasoned investor or taking your first step into the rental market, you need to understand what makes a good investment property. Here are five points to consider before investing.

𝗟𝗼𝗰𝗮𝘁𝗶𝗼𝗻, 𝗹𝗼𝗰𝗮𝘁𝗶𝗼𝗻, 𝗹𝗼𝗰𝗮𝘁𝗶𝗼𝗻
Look for areas with strong growth potential, good infrastructure and accessibility to shops, schools and public transport.

𝗥𝗲𝗻𝘁𝗮𝗹 𝘆𝗶𝗲𝗹𝗱 𝗮𝗻𝗱 𝗰𝗮𝗽𝗶𝘁𝗮𝗹 𝗴𝗿𝗼𝘄𝘁𝗵
Rental yield – the annual rent collected as a percentage of the property’s purchase price – is a key metric for assessing profitability. Equally important is the potential for the property’s value to increase over time.

𝗖𝗼𝗻𝗱𝗶𝘁𝗶𝗼𝗻 𝗮𝗻𝗱 𝗺𝗮𝗶𝗻𝘁𝗲𝗻𝗮𝗻𝗰𝗲
A well-maintained property can attract higher rents and more reliable tenants, and will likely need fewer repairs.

𝗧𝗲𝗻𝗮𝗻𝘁 𝗮𝗽𝗽𝗲𝗮𝗹
Consider if a property’s size, layout and features will impress your target tenant demographic – and, therefore, be in high demand.

𝗙𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗶𝗺𝗽𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻𝘀
Also, factor in additional expenses such as tax, insurance, management fees and maintenance.

𝗖𝗼𝗻𝘁𝗮𝗰𝘁 𝘂𝘀 𝘁𝗼𝗱𝗮𝘆 𝗶𝗳 𝘆𝗼𝘂 𝗵𝗮𝘃𝗲 𝗮𝗻𝘆 𝗾𝘂𝗲𝘀𝘁𝗶𝗼𝗻𝘀 𝗮𝗯𝗼𝘂𝘁 𝗽𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗶𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁.

*𝗗𝗶𝘀𝗰𝗹𝗮𝗶𝗺𝗲𝗿: This information does not constitute legal or financial advice.