{"id":4042,"date":"2016-11-17T02:21:11","date_gmt":"2016-11-16T15:21:11","guid":{"rendered":"http:\/\/www.trc-gorod.ru\/?p=4042"},"modified":"2021-04-12T15:22:01","modified_gmt":"2021-04-12T05:22:01","slug":"7-property-research-questions-need-ask","status":"publish","type":"post","link":"https:\/\/trc-gorod.ru\/7-property-research-questions-need-ask\/","title":{"rendered":"7 Property Research Questions You Need to Ask"},"content":{"rendered":"

[et_pb_section fb_built=”1″ admin_label=”section” _builder_version=”3.22″][et_pb_row admin_label=”row” _builder_version=”3.25″ background_size=”initial” background_position=”top_left” background_repeat=”repeat”][et_pb_column type=”4_4″ _builder_version=”3.25″ custom_padding=”|||” custom_padding__hover=”|||”][et_pb_text admin_label=”Text” _builder_version=”3.27.4″ background_size=”initial” background_position=”top_left” background_repeat=”repeat”]\"7<\/p>\n

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What strategies do you use when searching for an investment property?<\/p>\n

If you\u2019re investing where everyone else seems to be buying you\u2019re missing out on better opportunities. Why?<\/p>\n

Because very often, by the time the media has discovered a \u201chotspot<\/a>\u201d, the area is already well into its growth cycle, which means you\u2019ve missed out on a good deal of growth.<\/p>\n

And in fact, the market might be on the cusp of its downward cycle.<\/p>\n

When buying an investment property, your goal should be to achieve the most growth possible in a marketplace, maximising your investment efforts.<\/p>\n

Ask the following questions to discover markets which hold the potential for growth:<\/p>\n

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1.\u00a0\u00a0\u00a0\u00a0\u00a0 What is the market synergy?\"What<\/h2>\n

Synergy in terms of a property market simply refers to the unique combination of elements that make a particular suburb work well.<\/p>\n

It\u2019s made up of the area demographic, infrastructure, economics and other factors that make up a marketplace.<\/p>\n

Learn the synergies of a suburb and you\u2019ll discover potential investment property opportunities that others might miss.<\/p>\n

For example, do residents prefer units or houses? What features are important to them?<\/p>\n

If you understand what appeals to area residents you can find properties which both suits their needs and keeps them in your property longer.<\/p>\n

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2.\u00a0\u00a0\u00a0\u00a0\u00a0 Are publicly listed companies investing in the area?<\/h2>\n

If large companies such as Woolworths or Coles build or expand in a certain location it\u2019s a very good sign of growth. Why?<\/p>\n

These organisations spend a lot of time and money researching potential expansion areas so if they\u2019re investing in a location you need to look closer.<\/p>\n

Also, when publicly listed companies move into an area it provides a catalyst to the current market. They impact the suburb economically by providing jobs and spending money on upgrading the existing infrastructure.<\/p>\n

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3.\u00a0\u00a0\u00a0\u00a0\u00a0 What kinds of industry support the area?<\/h2>\n

Look for locations with multiple kinds of industry.<\/p>\n

If there are only one or two large employers, the economic impact of an industry downturn are felt much more keenly, and across many economic sectors.<\/p>\n

Whether or not you realise it, you\u2019re investing in much more than an investment property<\/a>. When you provide accommodations for individuals who want to live and work in a particular suburb you\u2019re investing in the success of that suburb as well. How?<\/p>\n

As a resident, your tenant will be spending their money in that area as a consumer and as a taxpayer.<\/p>\n

The strength of an economy is intimately tied to business, so if your investment property is in a location with diverse types of industries you\u2019re investing in the economic success of the suburb.<\/p>\n

4.\u00a0\u00a0\u00a0\u00a0\u00a0 Is the economy strong and growing? \u00a0\"<\/h2>\n

As you know, the economic underpinnings of the suburb need to be strong.<\/p>\n

Consider all aspects of the economy; business growth, wage growth and infrastructure spending.<\/p>\n

Also, take a look at the local council. Are they a progressive, growth minded organisation? What are their plans for the future of the area?<\/p>\n

Keep in mind that if you have a strong council, with well-planned goals for the suburb, you can expect growth to be a result.<\/p>\n

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5.\u00a0\u00a0\u00a0\u00a0\u00a0 What part of the cycle is the market sitting in?<\/h2>\n

The property market cycle can be condensed into the time-proven investing phrase, \u201cafter expansion comes contraction but after contraction comes expansion\u201d.<\/p>\n

In other words, just like the stock market, when buying an investment property you want to \u201cbuy low and sell high\u201d.<\/p>\n

When you buy at the bottom of the market, when sentiment is at its weakest, you\u2019ll be in a position to gain the most capital growth once the market swings towards peak again.<\/p>\n

6.\u00a0\u00a0\u00a0\u00a0\u00a0 What does the supply look like?\u00a0\"What<\/h2>\n

The supply of a marketplace will have an impact on rental yields, so find out if plans to increase that supply are in the works.<\/p>\n

Don\u2019t, however, assume that \u201capprovals equals completed projects\u201d.<\/p>\n

Some things which can impact whether or not a development gets completed are:<\/p>\n