Investing Safety Tips

Property investment Strategies and Tips for first time property investors

If you are buying a pre-existing investment property

- Do make sure you can affort the investment

- Do your sums before committing your self. Remember interest rate can rise, and so can your mortgage repayments.

- Don't always assume a stable or increasing rental market.

Rental flows rfom an investment property are rerely guaranteed. Don't assume you will always be able to rent out the property, and don;t assume rental will always increase over time.

- Do make sure you have written confirmation of your finance before signing a contract to purchase. also, be ware of conditional approvals-some time loan approvals will be subject to certain conditions, including a satisfactory valuation and mortgage insurance.

- Don't succumb to high pressure sales tactics

- Do have your solicitor ensure that your deposit is held with an independent and trusted thirs party with very clear provisions in the contract goverining its release.

- Do consider obtaining a building report and inspection.

At the very least get a builder or architect, friend to have alook over the property. if the property is structurally unsound, you may not have any resourse agains the vendor property purchasing is very much " Buyer be ware "

- Do remenber that investing in property is along term proposition and always remenber that.......

if it sound too good to be true, it probably is !

(by: paul tooze)