Want to become a property investor?

Are you looking at becoming a property investor? Purchasing an investment apartment is often a great place to start.

Here are a few of the benefits of buying an apartment:

• An apartment is typically cheaper than a traditional house. This is because houses often have a higher entry price point due to land value - so you could potentially buy an apartment or unit with a smaller deposit.
• Maintenance is also a cost that must be taken into consideration. If you purchase a house, all maintenance issues are your responsibility, whereas with an apartment or unit, many of these costs are shared with other owners through a body corporate scheme.
• Council rates are also higher for houses, and you may be required to pay land taxes in some states. So, when you are paying smaller council and government fees on an apartment, the returns on your investment could potentially be higher.
• Market conditions are also becoming more favourable for apartment investors. Thanks to a slump in the number of new apartments under construction, and an undersupply forecast for the next few years on Australia’s east coast, apartment values are likely to be more resilient compared to houses in the near term.
• Apartment growth cycles and capital growth has, historically, been less volatile than traditional houses.

Now that you understand the benefits of buying an investment apartment, here are our top tips on finding the one that is right for you.

 Research the right location

Location is one of the most important factors to consider in choosing the right property for investment. Depending on your strategy, you would most likely want to invest in an apartment where demand is high.

Small space apartments are usually in-demand in locations where young professionals are. Look at the city centre, employment hubs, universities and popular nightlife destinations, as well as areas where these places can be accessed via public transportation.

 Also consider what other properties are in the immediate area of the apartment, and of course, the level of security.

 Analyse the market data

 You’ll want to analyse the data you collect to find a location with positive capital growth and solid rental yields to maximise the profit potential of your investment apartment.

You can count on us for guidance

Depending on your current financial situation and investment strategy, a small apartment could be a good way to start (especially for a first-time investor) and FinancePath are dedicated to supporting your investment journey.

 Contact the team on 1300 780 440 and the team can start making your investment dream a reality today.