Real Estate

If you couldn’t live in unit maybe tenant won’t either

IF you’re looking at buying an investment property, principal of Chambers Fleming Professionals Padstow, John Owsnett, has a few tips.

“Ask yourself if you would be able to live there,” he says.
“Any investor should be able to say ‘yes’, even if it is only a small one or two-bedroom unit.
“If the answer is ‘no’ then you probably need to ask yourself, ‘if I couldn’t live there, then why do I feel that a tenant should live there?”
John said smart investors wanted someone who would look after the property, pay the rent on time and not interfere with the neighbours’ peace and quiet.
“Unfortunately, some investors still feel that anything is good enough to rent out and that tenants should not expect too much,” he said.
“They buy on the price alone and usually feel that they have made a good investment.
“Experience suggests otherwise.”
Is it within walking distance of amenities?
He also said that a property in a good location would always rent before the property on the main road or a property that backs onto a train line. Is it within walking distance to buses or a railway station? Is it an easy walk to a school, preschool or shops?
Does it have easy access to the freeways or highways?
“In a slow market, properties in poor locations on busy roads are always the last to rent,” he said.
“They can be vacant for a week, sometimes months, before attracting a tenant.
“Is the potential investment property surrounded by homes with barred windows? This tells you that it is a high crime area. In a normal market, most prospective tenants will walk away from leasing in such a location.”

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