What is most important for young investors?
With Loan Market property investment enquiries from Gen-Y investors this year nearly double that of the same time periods in 2010 and 2011, it is clear that property investment is attracting a much wider demographic than in the past. With property investment becoming increasingly popular for younger generations a survey of Loan Market’s mortgage brokers asked ‘What’s the most important advice for young property investors?’
The online poll of 239 brokers revealed that young property investors should be most mindful of their budgets before entering the market with a compelling 47 per cent of respondents agreeing that having the right budget was the key for successful property investment. This highlights the need to set up a comprehensive budget that considers cash flows, expenses, fees and maintenance which will lead to easier and more educated decisions when it comes to picking the right investment property.
The survey also revealed that choosing the right suburb was more important than deciding on the type of property to invest in or choosing the right investment loan product. The location and type of property an investor chooses can bring in additional income or different types of expenses. If you apply these factors to a well constructed budget, you’re going to be able to make better investment decisions.
Tight rental markets in all capital cities and the ability to fix your interest rate at historically low rates are two of the biggest factors making property investment so popular right now and it’s likely that this trend is going to continue.
If you are considering investing in property contact me so that I can assist answer any questions, help you create a budget and look at various investment loan packages.