How To Overcome Lack Of Trust When Investing In PropertyMarch 8 2017
Trust can be one of the major factors that keeps Investors deliberating about whether they should purchase a new investment property. Without trust in the information provided, the builder you’ve selected and property manager who will manage your investment properties, it may be hard for new Investors to take the plunge.
As a new Investor there will be so many people telling you so many different pieces of information that it’s often quite difficult to discern what information you should be listening to and therefore who you should actually trust.
So how can a new Investor find the right people to trust in the marketplace?
Finding the right information
Thorough research is the key to wading through the masses of information you will find about investing. By gathering enough information you will be able to make an educated assessment of what investment decisions are right for you.
It is important that you only consider information from credible sources, and try not to get caught up in sensationalised media stories. Look for the facts behind the news articles, so you can consider them rationally. Do not get emotionally influenced by news articles on face value.
Here are some reputable sources to use to gather your information:
- Builders with experience building investment properties
- Reputable Property Managers
- Financial Consultants with property investment knowledge
- Experienced Investors who have held their own investment properties
Choosing the right Builder
Building an investment property is different to building your own home. Tenants are looking for specific items in their rental properties, and depending on the location and the size of the home, you will attract a different type of tenant to your property. A builder specialising in investment properties will help you find the right home to build that will minimise outlay, reduce maintenance costs and make your property competitive in the rental market.
The stability of the builder you choose is also something that many Investors are concerned with. If you want peace of mind that the builder constructing your home will be able to complete the job, ensure you consider the size, longevity and number of homes that builder constructs. Choosing a small no-name builder because they are slightly cheaper could give you troubles in the long run.
Choosing the right Property Manager
Finding a Property Manager you can trust with your investment property, once it has been completed, is another key factor for Investors. The key to connecting with the right people is to look at companies that specialise in Property Management, rather than full service Real Estate agents, who tend to focus on selling rather than renting properties.
Interview your potential short list of Property Managers and find out how many years experience they have, their qualifications and their local knowledge and rental experience in the area where your investment property will be located.