Investing in an attractive rental property

If you are contemplating purchasing an investment property, it may be easy to get caught up in what you personally perceive to be an attractive property. However, when looking to rent out your investment purchase, it can be beneficial to place yourselves in the shoes of a future tenant and consider what attributes might make their ideal rental residence.

Proximity to transport

For many tenants, easy accessibility is high on the list of priorities so bear in mind the importance of location and transport when assessing a purchase. Whether it means accessibility to work, a social life or avoiding traffic, having the option to commute easily will likely improve the appeal of your property to a potential tenant, and could increase the rental return that may be achieved.

Consider your target market

It is vital to consider who will be renting your investment property in a prospective area. If you are looking to invest in a family-oriented area close to schools, then demand may be strong for spacious family homes or plenty of backyard space. Alternatively, apartments may be preferable close to city centres or in trendy areas that attract younger tenants. Carefully consider an investment in light of extensive research about demographics and demand for certain types of property in the local market.

The right rental price

When evaluating a purchase, consider what potential rental yields it could attract. Consultation with an agent can be incredibly useful to evaluate this, as you can utilise their on the ground, local knowledge and experience with similar properties. Place yourselves in the shoes of a tenant and consider whether this price may be perceived to be good value for what they are getting and how it compares to similar properties in the area.

Disclaimer: The opinions posted within this blog are those of the writer and do not necessarily reflect the views of CENTURY 21 Australia, others employed by CENTURY 21 Australia or the organisations with which the network is affiliated. The author takes full responsibility for his opinions and does not hold CENTURY 21 or any third party responsible for anything in the posted content. The author freely admits that his views may not be the same as those of his colleagues, or third parties associated with the CENTURY 21 Australia network.