I am busy organising a seminar at the moment based around helping women who are interested in investing or looking at expanding their portfolios; I thought I would take a little bit of time out from that to give you some quick tips whilst they are on my mind. I often get asked to provide my opinion after some of the big decisions have already been made; often this is unavoidable because of circumstances but the best time to talk to a property manager is BEFORE even purchasing a property!
What is my top tip for Investors???? Build your investing team around you
- Select a Real Estate agent with a good reputation but also one that you are comfortable with and who truly understands what you 10 year plan is. Tell them what you are looking for in an investment property. Agents often find out what is coming on the market much earlier than the general public and most are now associated with a property finder who works with the purchasers best interests at heart- not the vendors.
- Find a mortgage broker- depending on individual bank policies, most banks have different standards for investment properties. A broker is independent and generally free, they will help you get the best deal possible and make suggestions on how to meet the criteria if necessary.
- Enlist a property manager- On first glance most New Zealanders see a property manager as a cost; but done correctly they should cover their expense over time. Where possible, get a property manager to view the property before you put in an offer. Their expertise will be able to sort out the good from the bad; based on tenant requirements and market demand rather than emotion. They will happily visit more than one property so that you can find a property that will work the best for you.
- Building inspectors- There may well be a reason that the price of a property seems too good to be true. The asking price may be great but be careful not to incur large unnecessary expenses. Get the property checked from top to bottom; from the foundations to the roof there are many areas which may have hidden maintenance issues. Also going forward remember to budget for repairs and maintenance.
BE SMART!- if you are smart you will see rental property investment as a business and not a hobby! Build your investment team and get them to do the work for you!!
Don’t forget to call Sharon 0273550359 before buying a property if possible