When it comes to making any kind of decision on a property, you have to be smart. Whether you’re someone that has bought the property for years personally or for business, or you’re looking to invest in your first place, it’s going to work in your favor if you can do this in a calculated way.
And we’re not talking about being a shark or trying to outwit anyone. But just so that you’re going to end up with the best possible deal. Because the property is expensive. And when it comes to buying and selling, everyone wants to try and get the most bang for their buck.
So why shouldn’t you? You know for sure that the person you’re purchasing off wants the most money for their property, and you want it for the best price.
But that’s not all. Money aside, there are a lot of factors that come into play when we’re talking property. However, you’re not going to want to let that confuse you or make you feel intimidated.
Yes, you’re always going to find that there is someone out there that has more experience in the property game than you do, but you can soon catch up.
By doing your research and playing by the rules, you’ll easily be able to make smart decisions that see if you in the best possible position with your property. So let’s break down some of the things that you’ll want to keep in mind.
10 things to keep in mind when purchasing property
1. The purpose
First of all, you’re going to want to make sure that you keep the purpose in mind. This sounds really obvious, but it can be easy to forget. When you’re looking to buy a holiday home, you have to remember that this isn’t your actual home – so your requirements will be different.
And when you’re looking at getting somewhere as an investment, you will have to think objectively, and not about what you want the property to look like.
2. The rental Value
Next up, it’s often helpful to get the idea of what the rental market will be like too. Because if you are buying a holiday place or somewhere as an investment, renting it out can be a good idea.
Make sure that you look at prices in the area like https://www.rumah.com/panduan-dan-referensi/menyewakan-rumah/100-rumah-disewakan-terpopuler-di-indonesia to get a good feel for this. By doing your research beforehand, you’ll be sure to make the best investment.
3. The resale value
But at the same time, it can also be a great idea to think about the resale value. It’s important to make sure that you’re not going to lose money, even when you’re looking at getting a vacation rental.
You’ll want to find out what the ceiling price is for a property like that in the area, so you have a rough idea of what your return could be.
4. The potential to add profit
As a step on from that, you’re then going to want to figure out where you can add in the value. When it comes to investing in property, you need to make your decision based on the profit potential.
If you haven’t got much of a margin, you’ll need to be careful. Ideally, you’ll find somewhere that you can buy an underpriced property with potential to add value to it via renovation work.
5. The location
Next, you’re going to want to make sure that you consider the location. Because yes, location still matters. Check this out https://www.foxbusiness.com/features/why-location-matters-in-real-estate to understand why.
Whether for your own personal use or for an investment, you need to do your research on the right location before you buy.
6. The land
From here, you’re then going to want to think about the space you’re getting with the property. The first reason for this is because of the value you want to add. If there is no room for an extension, you’ll have to consider other ways to add value.
At the same time, you’ll also want to think about land for your own use. Do you want to enjoy the garden or maybe add a pool to a vacation place? Either way, make sure you know what outside space as well as parking, is included with the property.
7. The neighbors
Another handy tip is to scope out the neighborhood. When it comes to finding somewhere that you want to live, the worst possible scenario is that you find somewhere perfect but when it comes to living there you realize that the neighbors are a nightmare.
So, be sure to check the place out at different times of day, and in an informal way of wandering around the neighborhood, not just with a realtor.
8. The storage
From here, you’ll also want to think about the storage that’s available. This is going to be most important when it comes to a place that you want to live in.
Because you’ll want to ensure that there’s enough room for everything that you have. Particularly if the place is smaller, you’ll want to ensure that you can make space for storage, such as with the basement or attic.
9. The layout
When you’re looking around, really take the layout in, but don’t be put off by it. Because that can often be changed.
Make sure you work out what walls would need to be moved or taken down (if they can be), and speak to a contractor to find out a rough cost. This could then determine whether or not you decide to go for the place.
10. The current market
And finally, there’s the current market to think about too. Because when it comes to the real estate market, you’ll often want to know the local area as https://www.realestateexpress.com/career-hub/grow-your-real-estate-career/get-to-know-your-local-real-estate-market/ to know whether you’re getting a good deal or not. At the same time, current conditions matter in terms of getting a better return in the future.