Monday, June 3, 2013, AM | 4 Comments
The global economy has been facing a low recently and the property rates have since then been more or less on a low. For investors this is the best chance to buy new properties since they could get some of the best deals in the market at astounding prices. You may be one of those investors whose been looking to invest in your dream home since quite some time but don’t have that finance to back you up.
But understanding the current state of the market experts give advice for investors old and new, on how to invest your finance wisely and what are the necessary steps on buying a property. It works as a basic guide on the A to Z rules of property investment.
Know your Budget:
It is crucial to know the amount of finance that you make available while investing in your new home. It does not do any good to get carried away after watching an expensive property which could essential end you up in debts. That is why the very first to planning a property investment is to fix on a budget and stick to it.
Always make sure your budget is slightly less than what you can afford since that will prepare you for any additional expenses that may come along the way after securing the deal.
Secure the Right Agent:
Most of us while investing in new properties tend to research thoroughly on the options available to us in the market but are not that thorough with the options of multiple estate agents that are presented to us. We generally seek the first one that comes our way.
Avoid being hasty while securing your agent, rather, find out multiple people who can offer you good deals through your contacts and seek out various meetings with them. Ask for their valuations on your case and compare these to seek out the one which you think can lead you to the best deals and is genuinely interested in getting you the best available on them market keeping in mind your budget.
Do your research:
To believe in the various valuations offered by your agent is one thing and to do your own homework relating to the property market statistics is another.
When you have done your ground work you will be completely aware as to what type of properties the market is offering you currently and the price ranges that come along with them. It will also help you to channel your finance correctly since you will be well aware of all your options and maybe if you are not finding what you want you could withhold your decision and wait for more properties to become available in the market for you to scan through.
A viable Business Plan:
What most investors forget is the necessary to have a decent financial backing so as to support mortgage rates that come after the signing off the deal. They tend to invest lavishly in securing the property itself and fail to have a vision of how to go about the down payment.
Make sure you a secure viable business plan for the future years to come so that you have a guaranteed cash flow and can trust your finances to keep flowing and so as not to affect your lifestyle and also to pay off the mortgages rates.
Be it investing in the upcoming residential projects in Mumbai for those set of luxurious apartments or getting a country home in London, property investment is all about planning and well timed execution.
Heather Wales owns a real estate firm in India which deals with the upcoming residential projects in Mumbai. She advises new investors on the basics of property investment and how to do it will proper planning and management.