Question - How do I know I am buying investment property in a high growth location?
Answer - Our research identifies locations where the property market has consistent strong growth. We use leading industry research providers such as Australian Property Monitors, RPDATA, and Residex. Our staff are active investors, and follow the same recommendations as given to our clients.
Question - What if I buy an investment property and get no growth?
Answer - It is a proven fact that real estate will grow and double in value every 7 to 10 years in Major Australian cities. If you buy in the right location and at the right time you should get good capital growth. At Secure Growth Investments, we many years of experience to give you the right advise.
Question - What if there is an over supply of rental properties ?
Answer - Secure Growth Investments selects investment property in high population growth locations where there is a strong rental demand. Because of the high population growth, there is a severe shortage of rental properties in Australia. There is also a general trend in the community that the younger generation prefer renting. Oversupply of rental property is unlikely in the future.
Question - What if interest rates go up ?
Answer - In a free market economy, interest rates may rise and fall largely due to the intervention of the Reserve Bank. Generally, higher interest rates are a positive sign because it means the economy is strong, therefore putting upward pressure on property values. You should always budget for the possibility of interest rates rising by about 2% to ensure that you will not have cash flow problems. We advise you to take advantage of our free cash flow analysis program so you can see the effect of higher interest rate on your investment.
Question - What if I don't find a tenant ?
Answer - Finding a tenant is generally not a problem because there is a high rental demand. We generally get a rental guarantee from the developer for 3 to 6 months from completion. Additionally we will recommend a competent property manager to keep vacancy time to a minimum.
Question - How do I protect my property from damage?
Answer - First you should have a reputable property manager. We strongly recommend that you purchase Landlord Insurance to protect your property from damage. It only costs about AUD$350.
Question - What happens if I need to sell?
Answer - Property is a medium to long term investment. You should keep it for at least 10 years. We would recommend that you talk to us before you decide to sell. If you have to sell, we can help you with this process.