Call to Enquire

09 306 5820

Property Investment Q2 2016: What do you want to achieve?

 

Wealth Works Director and Authorised Financial Adviser Amy Wilkes, shares five key questions to ask yourself before investing in property... 

“Know what you want. Begin with the end in mind.” 

Amy Wilkes, Wealth Works


Residential Investment Property.jpg

  

The property market is always a hot topic and Q2 has been no different. At Wealth Works we work with lots of clients who use property as an investment vehicle and have found that often people are not clear on what they are trying to achieve.

 

It is very important before you get too far down the track of investing in property that you have a clear intention or outcome for your investment. This will provide you with purpose and give you a clearer direction on the most appropriate type of property and location to suit your needs. This, in turn, can exponentially increase your chances of success. Before you get started, ask yourself the following questions:

 

  1. What do I want from this investment? By being clear with what you want, will enable you to be precise and tailor your property to your needs.

  2. What am I wanting to gain from Investment property? Am I looking for income or yield? Or am I looking for longer term capital growth? Perhaps you are somewhere in the middle.

  3. What is the timeframe for this investment? Of course, this could change over time, but having a realistic time-frame when you go into the investment will help determine what location might be most suitable for your needs.

  4. What is my budget? How much are you prepared to contribute toward a property investment on a weekly, monthly or annual basis? Remember to consider maintenance and expected vacancy rates.  As well as possible increases to interest rates in the future. Ensure that whatever budget you set is going to be sustainable over the longer term. For most people, it is a long-term investment and one of the biggest risks I see are people being forced to sell when it’s the wrong time in the market to be selling.

  5. Do I want to be spending time and money on my investment property? For some people buying an older house that needs a complete renovation is an exciting prospect. And they may have the time and money to complete such a renovation. Others are looking for a more hands off stress-free investment where you can set it up and almost forget that it’s there. It’s important to understand what level of involvement you want to have with this investment.

 

This leads to property management. A good property manager can take all the stress, hard work and ongoing administration away from the investment so that you can get on and enjoy life! Some people want to do this because they feel they enjoy it and treat it as a bit of a hobby. A good property manager can allow your investment to run efficiently and seamlessly over the longer term. 

 

Whatever your goals are from investment property, it is important for many reasons to be clear on what you are trying to achieve.

 

Are you clear on what you want from your property investment? If you or someone you know are considering property investment talk to an expert today on 09 306 5820

 

Amy Wilkes | amy@wealthworks.co.nz

A disclosure statement is available, on request and free of charge.

 
© 2008 Wealth Works Ltd  www.wealthworks.co.nz
Website Design by Labyrinth Solutions  |  Content Management by Contegro