He said homebuyers and investors alike could get so excited about buying a property that they often made a bad emotional decision rather than a good financial one.
“Often they don’t realise that they have purchased the wrong property until they go to sell or tenant the property many years later,” John said.
“Unfortunately, a poor purchase may result in little or no capital growth or rental income for months at a time, thereby leaving you out of pocket.
“Buying overpriced property can set you back years financially.”
Here is John’s best checklist for home buyers and property pitfalls to avoid:
• Know what you are really buying and what it’s really worth.
• Is it attractive to other buyers and tenants – close to water, work, leisure and transport?
• Buy the right property at the right price. Don’t buy the cheapest property in the cheapest area.
• Avoid an emotional purchase at a price you might later regret.
• Buy in an area with limited available land but plenty of buyer and rental demand.
• Have an emergency cash buffer so that you can meet your loan repayments if interest rates rise.
• Sort out your finance before you start searching for a property.
• Have a clear investment plan in place, so you’re always focused on the bigger picture.
• Use professionals who can provide real guidance in your decision process.
• Focus on buying well in the first place, it will save you thousands.
For more info, call John on 9771 4555.
Buy well in first place to save thousands later
IT’S heartbreaking when you see people lose money because of poor property purchases, says John Owsnett, principal of Chambers Fleming Professionals Padstow.
