Location or Renovation?
I have been watching "The Block" for the last couple of weeks - watching contestants cry, sweat and swear over decor, furniture and tradies!
And each time I watch I am secretly glad it's them and not me humping all that stuff up and down stairs and ladders. Of course when it comes to auction day and they make a fortune I'll probably be changing my tune!
There is no doubt that renovation can be a great way to make money through property. As I'm personally quite a laid-back (lazy) investor my own strategy has been based more on timing and location over the years. The thing is - both strategies can work.
What's important when you buy property though, is to know what your strategy is and how are you going to make it all happen.
Have you noticed on "The Block" where the most stress comes from overall? It's from managing their budget.
No matter how much money they have - it's never quite enough to do what they want.
So whether you are in a big renovation project, a long term land-bank strategy or just finding ways to pay off your home loan sooner....managing your cash is fundamental to your success.
And the best way to do that is to ensure your loans and accounts are set up in the optimum way for you. Here are 3 quick tips to keep in mind for your own property strategy:
Tip #1: Don't pay the bank more interest than you absolutely have to. Research your lenders thoroughly.
Tip #2: Make sure you have reserves available for your project that you can access when needed.
Tip #3: Think in advance about a "Plan B" (and sometimes a "Plan C") because even the best laid plans can go awry when things happen that are beyond your control.
During my career I have seen many people enjoy profitable property investment but I've also seen some suffer through difficult, horrible property nightmares. The difference is in strategy and cash flow management.
If you'd like to discuss your property and loan situation and see if there are better options for you, call our friendly team today on (07) 3376 1005.