Spring buyers are coming out in force, and competition is still high in many markets this busy season.
The Property Investment Professionals of Australia (PIPA) has created a spring purchasing checklist for home buyers and investors, to encourage thoughtful buying decisions.
PIPAâ€™s Ben Kingsley warns that while well-selected real estate is an opportunity for wealth creation, all transactions should be approached with due diligence.
â€œNot only should investors ensure any purchase fits in with their long term investment goals, but itâ€™s important to be aware of unscrupulous operators, out to make a buck at the expense of innocent consumers,â€ he said.
Hereâ€™s their five-step spring purchasing checklist:
BE AWARE OF DODGY OPERATORS
Steer clear of experts who donâ€™t disclose how they earn their income.
Be wary of those encouraging you towards a â€œone size fits allâ€ approach, without considering your unique circumstances
Pushes to â€˜act fastâ€™ should have your alarm bells ringing.
DO YOUR RESEARCH
You must educate yourself as best possible.
Consider the big picture investment strategies, as well as local property knowledge.
DIFFERENTIATE BETWEEN EDUCATION AND SALES PITCH
Improving your skills and knowledge about investing and managing property will help you avoid the unscrupulous operators.
Educational seminars can be good, but be wary of the â€œsales pitchâ€.
Consider reading materials, video presentations and similar that offer real education.
THINK LONG-TERM, NOT SHORT-TERM
Property investment is, generally speaking, a long-term investment.
You should be thinking about buying and holding with a â€œbigger pictureâ€ in mind.
Many investors follow emotions primarily, rather than their mind, and can encounter problems as a result.
Consider each purchase a â€˜stepping stoneâ€™, and ask how it will add to your overall goal.
SEEK PROFESSIONAL ADVICE
Qualified advisers to work with you to develop long-term plans can be invaluable.
Look for those willing to help you identify the right strategy fitting with your own wealth creation goals and aspirations.
25 September 2014