Buying a property is a process that’s brimming with excitement. Because of this, it’s easy to fall hopelessly in love with the first property you see. You start to believe that it’s perfect for your home, business, or for investment, causing you to rush your decisions.
Throughout Australia, many of those who want an additional source of income turn towards property investment. Although investing in property can be a dependable way to make money, much of your success depends on the type of property you choose. While you might pursue the right aesthetics and defining practical features, it’s easy to ignore certain factors that can affect a property’s attractiveness. This, in turn, can negatively affect its value and your ROI.
Negative gearing isn’t a new practice, but it’s gained lots of attention lately due to The Labor Party’s proposed reforms. For those who invest in properties for resale or rental purposes, negative gearing involves making a loss on an investment to attract tax benefits.
Having a high-performing portfolio is a great way to achieve success as a property investor. Carefully choosing and managing properties can provide steady income in the form of rent, or they can be sold off later when you need to pay for a larger purchase such as sending a child to university or buying another property to expand your portfolio.
So, you’ve decided to enter the property investment market. The good news is, when done right, property investment can be a great way to secure your financial future. Now you ask yourself, “Which should I go for, an apartment or a house?” Knowing which one you should choose is an important step in planning your investment strategy and has a big effect on how successful you’ll be.