If you’re considering real estate, you’re making a smart move. The city’s booming economy has created an environment where properties are increasing in value, and many people are taking advantage of that by purchasing real estate as investments. This blog post will take you through the 7 most important things you can do to get started in real estate investing in Brisbane.
Gather a team of reliable professionals.
- Find a good lawyer. Your lawyer is your most important ally in real estate investing. They can help you with everything from structuring your deal to finding the right action when things go wrong.
- Find a good accountant. The Australian Taxation Office (ATO) requires that all property investors file an annual tax return, so it’s important that you find an accountant who has experience working with investors like yourself.
- Find a good real estate agent who has experience working with investors like yourselves and knows the local market well.
- Find a good property manager capable of running these properties, from managing property maintenance to collecting rent payments regularly through management companies.
Get your finances in order.
- Once you have your finances in order and have done your research about the investment property, it’s time to act.
- Get a good accountant. An accountant can help with tax advice, business structure advice (e.g., Sole Trader vs. Partnership), bookkeeping services, and reporting systems.
Do enough market research.
- You can only make smart investment decisions by doing your research. That means knowing what the market is like, what’s happening in the real estate market, and understanding who your buyer and seller are.
- The best way to do this market research is by getting a real estate agent involved in your deals. They will be able to give you a ton of information about the current state of affairs and what they think will happen in the future based on their experience with other clients who have done similar things.
- Keep an eye out for anything new so that you can notice it before deciding which properties might work well for whatever goals.
Be prepared for the ups and downs.
- The market can be overwhelming if you are new to real estate investing. However, it’s important to remember that any investment is subject to cyclical changes. There will always be ups and downs, but the best way to keep your head above water during these times is by being prepared for them.
- Therefore, if you are buying properties in a down market (and many people will), make sure they are sound investments with good tenants or good potential before investing in them so that if/when things pick up again, they will still hold their value or even appreciate faster than expected due to scarcity of supply.
Understand the different types of properties.
- Understand the different types of properties.
- Residential: Houses, apartments, and units you live in yourself or rent out to others. The most common type of property found in Brisbane.
- Commercial: Office buildings, warehouses, factories, and retail shops are considered commercial properties.
- Industrial: Buildings used for manufacturing purposes, such as factories and workshops.
Know your exit strategy before buying.
- Before starting real estate investing, you should have an exit plan. An exit strategy is a plan for when you want to sell your property.
- There are three main types of exit strategies: one type of exit strategy is called “sale,” after that the sale of the house (which can happen years after purchasing), all profit goes towards paying off the debt plus some extra profit left over; another type is called “buy and hold,” where an investor buys a house and rents out until selling it for a profit after many years; lastly, there’s also “rental income,” which involves renting out properties but never owning them as investments instead focusing only on earning rental income from them.
Go for value, not cheapness.
- The biggest mistake most people make when they first begin investing in real estate is buying at the wrong price.
- It would help if you never went for the cheapest property on the market. Instead, it would help if you focused on buying at a reasonable price that will allow you to profit after some time has passed.
There are many things to consider when starting real estate investing in Brisbane. It doesn’t take long to figure out everything. It takes some research, planning, and patience to get started. You’ll be surprised at how fast you can make money investing in real estate.