For decades Australia has had a long history of rising house prices. As a result, buying investment property is accepted as one of the best ways to set yourself up financially and build wealth.
Generally speaking, buying real estate in Australia is accepted as a very safe investment. Compared with the stock market that can see huge swings and significant volatility, property prices in good areas generally enjoy steady prices.
Why should you buy investment property?
One of the main reasons you would consider buying an investment property is what it can achieve for you personally and financially.
By acquiring a large portfolio of high performing properties, you can set yourself up financially and ensure you have enough money to live on for the rest of your life.
A property portfolio is also something you can leave behind to your children and even grandchildren meaning that your legacy will live on for generations to come.
If your goal is to set yourself up financially or work towards early retirement, you need to know what it takes to invest successfully. In the early stages of investing in real estate, it's essential to realise that it needs to be all about the numbers.
Adopting a strategy that will allow you to continue to grow your property portfolio over time will make sure that you don't run into constraints such as limited borrowing as you progress.
Similarly, buying an underperforming investment property that doesn't increase in value will only take you further away from your goals. If you are looking to use property as a vehicle towards financial freedom, you should purchase well-researched properties that will outperform the broader property market.
The Smart Way to Be Investing in Real Estate
Identifying the best strategy in line with your personal situation and then executing it by buying the correct properties in the right locations at the right time is not necessarily easy. It takes significant time, understanding, skill and sometimes experience.
If you are new to property with limited experience, a Buyers Agent can be a great asset. A professional like a Buyers Agent researches, inspects and negotiates on properties day in and day out. They also understand the importance of building a property portfolio in the right way, based on your personal and financial situation, ensuring you build a property portfolio that will continue to grow over time.