FAQ 6 Can you recommend (town name) to purchase an investment property

We would love to be familiar with all of the towns in Australia but the reality is that we are not. Markets do change for a number of reasons – many of them beyond the control of the investor. In any case we would say that it is extremely important that the investor does not short cut this important part of research and due dilligence. Responsibility and Ownership are vital when it comes to choosing a property – After all, its your money so look after it!

As coaches we do not provide advice on what or where to buy or to assess the suitability of a property. We advise students to perform their own due diligence when considering a property purchase.

YOU MUST DO YOUR OWN RESEARCH AND ARRIVE AT YOUR OWN PLANS

We provide a list of research websites for students to use and include this in the DOWNLOADS section of the website under the heading of USEFUL RESEARCH WEBSITE.

When an investor purchases an investment property he/she should have a particular purpose in mind. That purpose falls largely Into 2 categories. In both cases they involve monetary gains:

EQUITY GAIN – through a combination of natural and manufactured growth

INCOME GAIN – The income from the property exceeds the funds spent on the property through interest and expenses.

Sometimes a property can offer both but it can be that a property will offer one or the other or neither. We question whether a property can be termed \”investment\” if it offers neither!

The category of property that your portfolio requires next should be defined by your written investment plan. This plan is formulated from your written long term goals and your current finances ( INCOME and EQUITY positions).

Buying without a plan is effectively an UNPLANNED PURCHASE. The results obtained from this purchase may not be desirable. ( an example is an investor with a portfolio of negatively geared properties that cannot borrow any more funds to reach his/her goals)

In Summary

THINK

PLAN

TAKE ACTION

Michael & Sara
Ultimate Coaches

The information supplied is general only and not intended to replace professional advice.

An investment in knowledge pays the best interest. Benjamin Franklin