Investing in real estate is one of the smartest things you can do for your future. It’s an opportunity to get long-term financial security. If you decide to rent it out, you could even have a steady, passive income! If you’re looking to invest in a property, here are a few things you should consider.
Check Your Finances
In order to buy a property, you’ll need two things: money for a down payment and a loan. Your capacity for both will depend on your income levels and how much you’ve saved. Most people will save for years to buy their first house.
Your credit rating or score will play a huge part in getting a loan. If you’ve had problems with debt before, now may not be a good time to start investing in properties. People with bad credit are seen by lenders as ‘high-risk borrowers’. This means you’ll get higher interest rates – if you’re approved for a loan at all.
Type of Property
You have several types of property to choose from. They are:
- Residential – Residential properties are those made to be homes. These can be house-and-lots, condos or apartments. They are ideal if you plan to use it as a living space in the future.
- Commercial – Commercial properties are those made specifically for businesses. Offices, medical buildings, hotels – even schools – all fall into this category.
- Industrial – Industrial properties are made for manufacturing, research, storage or production. They can be distribution points for goods.
- Basic land – This is a blank slate – you can construct any type of structure on top of the land, as long as it adheres to state or territory regulations.
Hire a Realtor
A realtor can help you find the best properties in your area. They are the ones who will negotiate the terms and price of the property. They can sometimes help you get loans from lenders, making the buying process easier.
Looking to buy real estate in Bunbury? Consult a reliable Bunbury real estate agent today!