Buying an investment property can be a daunting task, whether it’s your first one or your 6th and your growing your Real Estate port folio.
Some people may tell you that buying over east, over seas or even other parts of the state is the way to go because it’s cheaper, but sometimes cheaper isn’t always the best option and spending that little bit more could save you money in the future.
My recommendation is to buy something a little more closer to home and here are three reasons why I think location is the most important reason when choosing your investment.
There is a reason you bought your own house or live where you live. You like the suburb, your kids go to school in the area, you grew up in the area, you have friends or family that live close by or the area just suits your lifestyle.
Whatever the reason, you know the area, it’s familiar to you and you know the ins and outs of the area like the back of your hand and the surrounding suburbs.
Close to Home
Whether you choose to get a property manager to manage your investment property or decide to look after it yourself, you want to be able to just jump in the car and go for a quick drive for any maintenance issues, meet prospective tenants or just be able to drive by and check it out, maybe after a storm or the local shire is fixing the road, curbs in or around your investment.
You just want the added advantage of being able to physically see that everything is or isn’t OK with your own eyes.
Back Up Plan
Owning another in the same area can sometimes be a god send for a couple reasons that you may not even consider when buying an investment but, things happen, life changes and having a back up plan is really not a bad idea.
For example, all the kids have moved out and you want to downgrade and your investment is the perfect downgrade or maybe your family is growing and you need a bigger house and your investment is bigger. Perhaps you decide to renovate your house and need somewhere to stay or you have friends or family that are relocating to the same area and need something for the interim.
All those things could happen and you just want to stay in the same area so having that back up plan was a blessing.
Now I’m not saying that you should go buy something next door or in the next street or even the same suburb, I’m just suggesting that your knowledge of what you already know, live and love are considered when making the choice to buy an investment.