LOCATION
In real estate, location is everything. This section will
help you choose the right location. There are many factors
to consider when deciding where to buy property. If you
are buying a property to live in, you need to find out
the location of:
— the
closest shopping centre
— public
transport
— parks and
other facilities
— schools
if you have children
If you are looking for an investment property you need
to find out:
— recent
property growth figures
— the
demand for rental properties in that area
— the
facilities that will appeal to the rental market
COSTS OF BUYING
Find out the various expenses involved with buying property.
We advise that the following are the main costs involved
when you buy property:
— purchase
price of the property
— stamp duty/transfer fees
payable to the Government / Development Authority
— legal costs and searches
BUYING
AS AN INVESTMENT
While the decision to buy a family home is usually very
emotive, buying investment property should be based on
a logical and calculated process. To minimise the risk
of getting stuck with a bad investment, we recommend buyers
research the area they intend to buy. We advise investors
to:
1. Check the local newspapers
Find properties with similar features and compare
their prices. This simple research will be a valuable
guide to determining what is on the market, and at what
price.
2. Talk to a real estate agent in the area
A good agent should be able to provide buyers
with an informed opinion on prices and market trends.
They should also be aware of the property types that
tenants are looking for, and how much particular types
of property should return in rent.
3. Contact the concerning Development Authority
It is recommended that potential investors
contact the concerning development authority which may
be a government department like CDA or a private organization,
to find out whether any major developments are planned
for the area.
Your perfect investment may not be so perfect if a freeway
overpass is being planned for your back yard.
4. Seek financial advice
If you're a first time investor, property investment
should be considered and managed as part of an investment
portfolio. Unless you're an experienced property investor,
independent advice will prove invaluable.
Like any other investment, you need to consider:
— how much money you can
invest
— what the goal of the
investment is
— how long you want to
hold the investment
5 . Re-evaluate regularly
Another important factor to consider is the
property and the market conditions affecting your investment.
It must be monitored and re-evaluated on a regular basis.
While there are many avenues of investment, property
is still a stable and financially rewarding investment.
The buyer must be aware of what sort of return they
can expect from their investment. Purchasing the right
property makes it easier to rent out and sell when the
need arises. |
