Investing in Property is like any other investment, a very complex matter with many perspectives and aspects to consider. However, it seems, that unlike any other asset class, like shares or commodities, everyone has an opinion or experience that they are prepared to share (sometimes without being asked!) about investment in property. The truth is that property is the oldest form of investing, dating back to the beginning of civilisation. Back then, man seemed obsessed about possessing land, at any cost. Today, we are more refined in many ways, but yet property is still a very lucrative asset to possess. At Investment Property Partner, we are interested in land for one reason, wealth creation. It is not about having the most property, it is about working within your means and achieving your goals. How do I buy my first property? All good things start with the first steps, so too with investing in property. The key is to make your first investment a winner so that you can use the capital growth and positive cash flow to make further property investments – build a valuable property portfolio to suit your situation and goals. So what do we look for in your first investment? Let’s start with you and to be specific: your sources of equity for the deposit, such as cash, line of credit etc. your borrowing capacity, in terms of serviceability. That is, your income and any current loans that you may have. Once we understand these two key elements, then we can devise a strategy to get you into your first investment property. Investment Property Partner works with you to select an investment property that compliments your current position and fits with your risk profile. That is, the amount of money that you are prepared to commit to the purchase and any ongoing contributions you are comfortable to invest into your property. This is a relatively easy process. The aim of the investment is to create future wealth from your investment property.  Our experienced Investment Property Specialists are available to assist you now, so please click here to arrange a complimentary Investment Property consultation where we can discuss real possibilities for you. How does a regular investor become a property portfolio owner? As with most asset portfolios, everything grows from the first successful investment. With residential property portfolios, the trick is to buy one property and use the increase in value of that property to buy your next property. And so it goes on. Let’s consider that you buy an investment property for say, $500,000. In the first year, the probable net return (before interest) on that investment would be approximately $20,000. After paying interest and claiming tax deductions, the net cost of your investment might be approximately $4,000 in the first year. However, in the first year, your property might grow in value by, say $40,000. That is a net accumulation in wealth of $36,000. Not bad! So how does this help you to buy a second … Continue reading Property Education