Thinking of investing in Property in 2020? Here are 6 Tips for Success

14 Jan 2020
Melinda Barnes

Can you believe it is 2020, a new decade? If you are like me, you don’t know where the last decade went. A New Year often brings a renewed sense of motivation and inspiration. For many people, it's also a time of year where work may be quieter than usual, and you've got more time for reading and research. If you're spending some time planning your property investing year ahead, here are six tips to help focus your thoughts and attention.

Start your market research

To get your research started, look at figures on the sold properties or leased properties in your target area for the last 6 to 12 months. Become aware of the sales and rental markets where your investment properties are located, plus the markets where you're looking to invest is a great way to get ahead before you start looking at houses. Call a local Real Estate Agent where you are looking to buy and ask them what they are finding in the current market, let them know you are looking for an investment property. You might find they call you 1^st when something comes up so the office can keep the rental property on their books and this Sales agent can also get a sale.

BUDGET, BUDGET, BUDGET (and stick to it)

Be sure to put together a budget, whether you're looking to hold your current portfolio or buy or sell properties in 2020, make sure you do a budget that reflects these needs. This is particularly important as the lending environment continues to be volatile at the moment. Review all your expenses and income and set up savings plan if there's extra money you want to put towards investing in 2020. Talk to a mortgage broker as the criteria around lending may have changed since you last took out a loan, this may change your borrow power for the next property.

Review your leases

Check the leases across any investment property you currently own, take note of the end date and set calendar reminders ahead of time so you can prompt your property manager to send a renewal to the tenants. Speak to the property manager looking after your rental to find out what is happening to the local market. Do you need to forgo a rent increase so the current tenant re-signs? Make sure your lease renewals fall around busy periods in the market too. For example, if your property is near the beach keep renewals to summer and try not to have a lease expire just before Christmas.

Expand your search location

It's common to automatically start searching in the locations that we know when it comes to buying property. Lesser-known areas, however, could be exactly what you're looking for in your next investment. If you're partial to Sydney and Melbourne, expand your research to the smaller capital cities and regional centres to get an understanding of different markets. Different property value, different rental returns and also different projected grown for these areas.

Review your investment goals

Based on your market research and where you expect the market to head in 2020, you may want to adjust your investment goals.

Speak with your advisers

Take the time to check in with your advisers, including your lawyer, accountant, mortgage broker and any other professionals who help you on a regular basis. It's an excellent time to talk through your plans and goals for the year and they could help to potentially optimise your strategy.

Investing the time at the start of the year for planning and research will set you up for success in 2020, no matter what your plans are for the year ahead. With the property market looking to be on the upturn, now might be a great time to buy that investment for the future.

We are especially pleased with Signature Property Agents as Melinda Barnes( Mel) put herself out to sell our Property. We also were pleased with her staff being very helpful & present at all times .
We have in the past sold 6 different homes in the St. George & Sutherland areas.
We would give all other agents around 5 to 6 out of a score of 10.
For Signature Property Agents we would give Mel 11 out of a score of
10 thats how good she was.
Therefore any person that requires their homes to be SOLD we would fully recommend the only agent being SIGNATURE PROPERTY AGENTS of 617 Port Hacking Road LILLI PILLI NSW contact (02) 95266233

- Greame and Marcia
Caringbah South

Luke was such a pleasure to deal with! Such a genuine and honest agent - something that is very rare to find! He was was always available to talk and constantly kept me in the loop of everything that was happening. He really made the whole buying process such an easy and enjoyable experience. Would highly recommend Luke to anyone looking to buy or sell!

- JulieanneBarbaro
MIranda

I knew from the outset that Ron was the right person to sell my home and he certainly didn’t disappoint.
His local knowledge and experience combined with his marketing expertise ensured a sale that was substantially above our expectations and well above other agents’ predictions.
Ron’s friendly and professional approach, along with his honest and genuine passion for real estate, relieved us of the stresses which usually come with selling a home, while at the same time maintaining constant communication every step of the way.
Ron’s negotiating skills allowed us to sell our property just two days after our first open house. Next time, I will definitely contact Ron and the Signature team.