When should I buy a second property?
By Advantage Property | 4th Apr 17
Is there a right time to invest? It’s the golden question for many property investors and the answer is simpler than you think. No one can really tell you when the best time to invest as it all depends on your financial position. There are many ways to make your property work for you but to understand all these successful strategies you need to understand your cash flow and financial position.
You know the time is right to buy another property when it meets all your criteria as an investment and you are able to afford it. Right now, interest rates are at historical lows so many who are looking to invest are actively looking. We always advise to get sound and educated advice to ensure that you are purchasing an income earning asset and not one that just produces extra or unwanted debt. You should always consider how to secure debt against your current property as you may be open to mortgage insurances or additional costs. You may want to also consider how much your mortgage repayments will be each month taking into consideration any possible foreseen and unforeseen costs against your potential rental income. If the numbers are comfortable for you and your lifestyle, you may be onto a sound investment opportunity!
We find surrounding yourself with the right advice and doing your due diligence is key to being successful. Set your goals and work towards them – it’s possible to be a successful property investor! We think the right time to invest is when you are educated, have an understanding of your finances and have done all the diligence, you can taking into account various scenarios.
If you’re looking for a tailored strategy, chat to one of our consultants or secure your spot at our next Investor Club event. It’s a great way to meet successful investors, hear their stories and get market insights from our panel of speakers!