Everyone has their own reasons for getting into property investment. Some people just do it because they enjoy it; others get into it because they’re eager to make as much money as possible, as quickly as possible. Still other investors do it because they have a specific goal in mind.
Do you have a target when it comes to investing – a certain amount of money you’re hoping to make? Perhaps you’re looking to pay tuition at your child’s university, or set aside a comfortable sum of money for your retirement. In any case, having an investment target is a great way to give purpose and structure to your plans.
So ask yourself – what are your long-term goals? As you start to dabble in buying property, what are you hoping to accomplish? Figuring this out is a crucial first step in the process.
Setting goals, researching methods
Even if you have an appropriate home loan to get you started, there are no guarantees that property investment will yield the kind of returns you want it to. To put yourself in position for success, you’ll need to have clear goals from the start and thoroughly research how you’ll achieve them.
According to the Industry Skills Councils, this should begin with developing performance measures by looking at past historical data and making reasonable expectations for the future. If you have past information on how much properties like yours have appreciated in value over the years, you can make some good educated guesses.
There are many reputable sources of industry benchmarking data out there, including private research organisations and Australian Government offices. If you’re able to weigh data points from a variety of sources when making investment decisions, you’ll be in prime position to shape a profitable portfolio long-term.
Balancing ambition with risk
There’s a constant balancing act that you’re trying to pull off in property investment. On one hand, you want to set big, lofty goals for yourself. Providing for your children’s schooling or your retirement is no easy task, so you want to make big investments that will yield major returns, and quickly.
However, you also don’t want to court too much risk. There are few things in life scarier than gambling with your financial future. At Smartline, we have a team of brokers in place who can offer you invaluable guidance that will benefit you in selecting the right loan for your circumstances now and with the future in mind.
Getting the loans you need to start out
Finding your initial footing in property investment can be a major challenge. It’s tough to get started when you don’t have a lot of money or any key insider connections who can help you make deals. One thing that can help, however, is talking to a Smartline Mortgage Adviser who can suggest suitable options for you to start off with a little bit of capital.
You can contact a Smartline Mortgage Adviser on 13 14 97 for mortgage advice. Or complete our call request form and we’ll call you!
DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.