Thinking of Buying Investment Property in Brisbane before Christmas?
If you have ever considered investing in the real estate market in Brisbane, there has never been a more perfect market than now. Low home prices combined with the lowest interest rates ever seen make for the perfect scenario to invest your money and watch it grow in the years to come. Investment property in Brisbane is abundant and, even if you have little to no experience in the real estate market, you’ll be able to maximize your earning potential with the right property at the right price.
If you’re curious about investment property basics, read on and you’ll see that, with a little knowledge and some money in the bank, you’ll be ready to make your first Brisbane investment property purchase in now time.
Why is now the best time to buy property? Well, this answer is a simple one.
For years, the interest rates have dropped to record lows. Along with interest rates, investment property in Brisbane is at the lowest prices in over 10 years. They may have bottomed out but they’ve yet to show an increase so the time to buy investment property is now.
Do I need prior experience as a landlord or manager to be able to purchase investment property and succeed at generating income? The answer is no. One misconception is that prior experience as a manager or landlord is required from a lender and/or that it is required to truly be able to profit from a purchase. This is not the case at all. Some stringent lenders may have a requirement of prior landlord experience but most have become very lenient and allow for investment property purchase with no experience at all.
How will I know if I will profit from my investment property? Before investing in a property, it is a good idea to do some research. You’ll need to know:
- How much rent can I expect for the type of property I’m looking for?
- How much will property taxes be?
- Would it pay to spend on a HOA (Home Owner’s Association) membership?
Answering these questions will help you figure out a monthly payment that allows you to cover the anticipated rental income and be able to profit a sufficient amount each month as well.
Ideally, aim to find a property with a mortgage payment that is half of the monthly rental income (including property taxes, insurance and HOA dues) unless you are negative gearing for a particular reason
Would love to read your comments …Cheers