Top tips to pick the right property to build your real estate portfolio in Australia. Visit: http://fairchildgroup.com.au/contact-us/

1. Fairchild Group Contact
How To Choose An Investment Property
Fairchild Group, Sydney-Australia
A preferred field of investment, because of its many advantages, is real estate. Property
investment is always lucrative
because of the simple fact that
people will always need homes
and businesses will always need a
location to operate from. In
addition, the population is
growing, which means there will
always be a strong demand for
homes.
Many people are beginning to
realize the importance of
investing, especially in real estate.
The issue then becomes how to
choose a property to invest in.
There are eight different factors to consider.
1. Capital Growth Rate
Capital growth rate is hard to determine exactly, as different market factors come into
play. However, overall, property prices are rising quite sharply, which would suggest
there will soon be a slowing down of growth, albeit not a decline. Meanwhile, capital
growth rate is expected to be relatively faster in Sydney and Melbourne.
2. Population Growth
Population growth is equally
important. The next generation will
require a place to live, after all. It is
becoming increasingly difficult for
people in Australia to buy their first
home, but there will still be an
increased demand in properties.
However, there may be some slow

2. Fairchild Group Contact
down in population growth, as people find out that they cannot afford to have more
children.
3. Residential Vacancy Rate
If you purchase an investment
property in an area with a high
vacancy rate, it is likely to be an
undesirable neighborhood. This
means that it would be difficult to
rent out the property as a landlord,
and to sell it at a later stage in order
to profit from the investment. On the
other hand, if the property is truly
cheap, this can work as an advantage
should the neighborhood be planned
for regeneration.
4. Established and Planned Infrastructure
In line with regeneration, you need to understand what is planned in terms of
infrastructure around the property. Better access to certain services, for instance, will
increase property value. However, the addition of a runway to an airport at the back of
the property would lower its value.
5. Median Property Price
An investment property, if at all
possible, should be just below the
current median property price. This
will mean that you have a better
chance of selling it at a profit later on.
Do also compare this price to the rest
of the geographical area, or similar
communities, to help you determine if
the area is more or less desirable.

3. Fairchild Group Contact
6. Rental Yield
Investment properties may be purchased with the intention of renting them out for a
certain period of time. The yield has to cover at least your mortgage and preferably other
costs as well. In fact, some people can find having a rental home to be very profitable.
7. Tax Effectiveness
Property taxes
may be associated
with the type of
mortgage you
have. Hence,
ensuring you
choose something
that is tax
effective will
ensure a more
secure investment.
8. Little
Luxuries
The little luxuries are the things that a person cares about. These are things like a great
view, a modern kitchen, or an extra bedroom. They tend to increase the value of the
property in the eyes of that person.

4. Fairchild Group Contact
Fairchild Group Home Loan Calculator

5. Fairchild Group Contact
Fairchild Group Contacts Info:
Twitter:
https://twitter.com/fairchild_group
Facebook:
https://www.facebook.com/FairchildGroup/
Youtube:
https://www.youtube.com/watch?v=21kdtN4084s