New home owners are fresh and excited to get making money off of an investment property. Because the excitement clouds proper judgement many are making mistakes that can easily and really should be avoided. These include but are not limited to:
This post is sponsored by Tim Manning NZ
When buying it’s of paramount importance to not be fooled by the cheap price, a bargain on a house can be tempting but it can also be the downfall in your property investment. Houses are generally cheap for a reason so do some digging and find out what those reasons are. Most likely the reason is that the location of the property is less than desirable. It may be that it’s a rough neighbourhood, or the house doesn’t sit well within public transport, or it’s just in the middle of absolutely nowhere. Taking location into account when buying a house is the most important.
Another mistake many property owners make is choosing quantity over quality. When fixing your house up before renting it out don’t cut corners and choose the cheaper option for flooring, fixtures etc. Also making sure your property’s exterior is in its best condition possible. First impressions are everything so having a welcoming exterior for them to see before even entering the house is important so that’s an extremely important investment to make in the fix-up process. Take pride in it and treat it as if you were to live in it yourself.
Treat the house like you would live in it but make sure not to get too personal with decorating. Your style may not be appealing to everyone and that will limit your audience. It’s best to keep the house fresh and clean. Minimalism can be a really great style to go through with when decorating. It makes it look clean and professional while still holding that home-like appeal. Using white is great as it makes the room appear light which is important and everyone can envision their own ideas. Make it into a blank canvas.
One important piece of advice I can make is to not rush into anything. Most new home owners are eager to start making money off the house but it’s important to take all of the necessary steps first. Take time to plan, research builders if you need them, wait for the right time to put the house on the market. Basically, just make sure everything that needs doing gets done thoroughly. Most of the time waiting will pay off better in the long run.
So those are a few common mistakes with many who have just entered the housing market. If you or anyone you know is thinking of buying an investment property, be sure to share this article.