An investment in real estate is a serious business with no secret approach and no short cuts for success. So, a lot of property investors, at some probable instance, experience a sense of uncertainty. Normally, this is the cause from apprehension in regards to the enormity of the acquisition that is about to be made. Moreover, not many of us are comfortable while dealing in more than hundred thousands of dollars.
Helen Collier-Kogtevs is the director of Real Wealth Australia who has heavily invested in Real Estate herself and credit it as a key to her success.
What one doesn’t know in considering a property investment is another cause for concern, the first time around. But, there are confirmed strategies that have built wealth in a methodical, slow and safe way. These strategies are specifically what are taught at Real Wealth Australia.
If the fear is severe, it’s enough to hold one back from going ahead with property investing on the whole. Education is one of the vital methods where one can overcome fear. So appropriate mentoring and education can teach one the finer points of property investment which provides hindsight. As a result, one starts making decisions on the basis of facts and figures, effective financial rewards and a self belief that property investment is a good asset. Moreover, identifying the risks and working to get rid of them is the best means of getting over anxiety.
What happens if a tenant is not found?
Surely, this is surprisingly the most common fear inspite of the fact that large numbers of Australians rent very year. To minimize this risk, for example buy real estate in areas that offers a strong rental populace. The Australian Bureau of Statistics provides free information in this regard.
What happens when property is destroyed by the tenant?
A Landlord Insurance is a good proposition. Every year for a few hundred dollars, you’re assured through spitefully damages to the property, while repairs are being done, one is covered for loss of rent and repairs. Nevertheless a valuable investment since it provides precious peace of mind and is tax deductable as well.
What happens if the interest rates go up?
Though it’s a very valid fear, the individual lenders and the Reserve Bank decide the interest rates. There’s no control whatsoever. Develop a cash reserve or buffer for any unforeseen expenditures, if interest rates keep increasing and is of concern. Nevertheless, remember that rents can be increased according with the market. So, with rising interest rates, the rental income might rise too.
Regards,
Helen Collier-Kogtevs