Selecting a property that fits your investment strategy can be a complex undertaking – one that’s not to be considered lightly. Aside from the importance of determining location, budget and rental suitability, there’s also the age-old question of capital gain versus rental yield.
Knowing how to diversify and build a sold investment portfolio is a skill that comes from many years of experience, and a fantastic support team. We call that team The REIN Group Circle of Safety. Through this integrated network of professionals, we can help you handle every aspect of buying rental properties and using them to build your wealth.
Available rental properties
If you’re looking to buy property, the huge range available through The REIN Group network will surely whet your appetite. Not only can we help you source the right kind of property to bolster (or start) your investment portfolio, we can make sure you consider all available options – even ones you may not have thought of yourself.
Investment properties can come in every shape and size. Here are some of the ones you may consider.
Attached units and apartments
Apartments, townhouses and terraces are often sought after by investors for their low-maintenance nature and high rental yield. Because they come at a lower price point, it can also be easier to start a larger portfolio by focusing on the unit market.
The darling of the Australian home-buying class, these properties can be more expensive but are generally considered a better capital gain opportunity. With more land and house comes more responsibility though, so property management should be high on your list of things to check out.
Land banking is when a buyer adds vacant land to an investment portfolio to not only diversify their holdings, but to return a higher capital gain when the market swings in favour of that particular location.
If you like your investment properties with a bit of mucking in to do, a renovation opportunity or the chance to subdivide a large block with an existing property could be ideal. A great way to capitalise in the short term, but certainly the realm of a more active property investor.
Off the plan and new builds
Buying into a new subdivision can be risky, but with the right guidance from The REIN Group, you can be certain you’re making a good decision for your property portfolio.
Buying a property off the plan is a good way to avoid some of the emotional or perceived value that gets attached to the price of existing properties, and allows you to lock in a price with the builder. It’s also a very good opportunity to maximise your depreciation deductibles in the short term and avoid costly maintenance.
Building the perfect investment portfolio
What does the perfect property portfolio look like? It’s the one that you and The REIN Group build by working together. Every investor has different needs and a mix of the property types above is usually what is needed to spread risk and drive returns. However, without professional help, getting the ratio right can be difficult.
Talk to The REIN Group today about how you can use your deposit or the equity in your home or investment to unlock the potential held in these properties. We won’t just stick around for the purchase either – we’re in it for the long haul. We offer a complete investment property service, along with associated professional advice and help from our network affiliates.