1. Get the Right Guidance
Good planning is essential to your financial success. Seeking advice from qualified and established experts in the field means that you have access to their valuable experience and knowledge about what works and what doesn’t. Assembling a good team of property investment professionals ensures that you have the support you need through every step of the process. The first member of your support team should be a Qualified Property Investment Advisor (QPIA). They’ll know the right formula to follow to ensure your success and will help you apply that formula to your unique set of circumstances. Next, you’ll need an experienced mortgage broker, licensed buyer’s agent and a solicitor/conveyancer. You will also need an independent pest and building inspector and a reliable property manager but if you’ve found a good buyer’s agent that focus on building a relationship rather than a transaction, they will be able to provide you with some recommendations for a reliable property manager. And finally, to complete your ‘A-Team’, you will need a good accountant.
When searching for a team of people that you can trust, always assume yourself in a General Manager position. After all, if you want to build a passive income for life, this is a serious business. Look to see that they have a track record of performance and success and ask for testimonials where necessary. Most property professionals also offer a free consultation so make full use of the time and prepare your own list of questions. During the consultation, listen and observe if the advisor is trying to push you to buy a certain type of property or they are keen to understand your situation first before advising you on anything? One of our pet hates are advisor’s that try to recommend a one-size-fits-all solution when the fact is, every household is different and unique. Each household should have a property investment strategy that is custom built and tailored to their specific needs. You’ll want to make sure that your concerns are addressed and that you feel a sense of rapport. Always remember that your team is working for you and you want to make sure you feel confident and comfortable with them from the beginning. property investor
2. Increase Your Borrowing Power
Taking all possible steps to improve your credit and increase the amount of money you can borrow will benefit you greatly. Although some might say you don’t need much to start investing in property, a bit more capital never hurts. You can start by consolidating your existing credit debt and decreasing the number of credit lines you have open. As always, saving as much as possible through effective budgeting is an essential part of this process. If you’ve reached the point where you own more than one property, your borrowing power is enhanced by the rental income. Plus, the more good quality assets you have, the more attractive you are to lenders. Don’t worry, however, if you don’t own multiple properties. Even if you don’t own a single property yet, focus on making your first purchase and then go from there. You might be surprised at how quickly the momentum can build.