How Can Investment Research Eliminate the Guesswork & Help You Make the Right Decision?
- People who are looking for high growth property that will give some return.
- People looking for above average income with standard market growth
We operate primarily in the second area- solid above average returns with normal market growth.
Understand the higher the rental return the lower the expected growth.
Conversely the higher the growth the lower the historical rental returns which will correct over time.
To ensure a good return on your investment, there are several aspects we research first.
Areas: Growth areas are those where we see strong population growth and economic growth. There might be current infrastructure projects or plans in place. If there is some money being put into an area, we are interested.
Property: The type of property is essential to the size of return. So what is more profitable? A House? Apartment? Townhouse? Block of Flats? We have the ability to obtain any of those for investment. The rule here is the more valuable the land, the higher the density should be of the construction.
Investing in the CBD? The land is extremely valuable and returns will go up quickly- but a higher capital investment is required initially and usually would be Apartment type dwellings.
Fringe CBD to outer suburbia. Apartments, town houses and infill redevelopment (split blocks etc)
Far Outer suburbia and new satellite development? You should be building houses or multiple tenancy properties.
The first mistake investors make is building the wrong type of property in an area.
Tenants: As investment property researchers, we have established what different types of tenants want from your investment property and how to ensure you attract the right type.
We see too many people spend time creating the perfect property investment, only to have tenants move in that aren’t satisfied with the property or make trouble for the homeowner. That’s why we recommend building or investing in an area that is in high demand or has potential- so the tenant can stay there long term without feeling that another area would be better.
If you’d like to find out more about how we do what we do here at Profitable Investment Concepts, don’t hesitate to contact us now to find the right property for your location.