Are you unsure of what amount of rent you should charge or want to know how much rental income you can get for the property you own? To get more assurance property investment plan should be good. To find out, get in touch with a local property manager of ours and have a rental appraisal done. Based on your area’s latest rental figures, our appraisals will give you a good idea of the amount your property could receive in today’s market.
1. Your property investment should be viewed as a business, and not as a hobby
One good way to get serious and focused on your decisions and goals is to shift your focus from your property investment being a hobby over to it being a business venture instead. Think the way that a businessperson does and leave emotions completely out of things. Your decisions should be based on evidence and research. What are the numbers telling you? When you select a property, consider what the state of the local rental market is, the kinds of tenants you would like to attract and ongoing maintenance costs. If the property doesn’t meet your criteria or the numbers don’t add up then be prepared to just walk away. If one of the properties in your portfolio is under performing, don’t hesitate to sell and get a different property to replace it with that will perform better.
2. Have a well-defined property investment plan, and a clear vision of what success is for you. To create your clear property investment plan, ask yourself these questions?
- What is my current situation like?
- What goals do I want to achieve
- What do I need to do in order to get from where I am currently, to where I want to be?
- How will I measure this?
- What will I need to help me get there?
As you continue adding more properties into your investment portfolio, having a comprehensive investment strategy becomes increasingly important. It will depend on what your individual situation is. You will need to have strong cash flow that you can live on if you are retiring. You will want capital gains – something that will be double its worth in 10 years if you are young. Whatever approach you decide to take, be sure to stick with it! Make the decision to grow slowly, yet still maintain enough flexibility to be able to close quickly whenever a good opportunity presents itself. Work with your strengths and stick with those things that have been successful for you in the past.
4. Review your portfolio and investments on a regular basis.
You can’t manage anything that can’t be measured. That is definitely true when it comes to property investing. Throughout the year, at regular intervals, sit down and thoroughly review your portfolio. Look at what is working well and what isn’t working. Are your mortgage and rents aligned with the current market? Remember to review your insurance rates – do you have the right type of level of insurance and are you paying a competitive price on your premium?
5. Make things happen!
Taking action is the most important thing that you need to do. Check your calendar and block some time out each weeks so that you can focus solely on your property investing goals and activities.
Watch the video to know more.