Buyer / Lessee Tips

Tips for Selecting a Location for Investment
Select an area which you believe is or will soon be experiencing growth. Key indicators of growth in an area may include:

  1. Demand for property exceeds or will soon exceed supply, for whatever reason.
  2. The area is experiencing a price increase at a greater rate than the region in which it lies.
  3. The area has lower prices than surrounding suburbs.
  4. Neighbouring areas are experiencing strong growth and activity.
  5. Positive developments happening in the area such as infrastructure, transport/access improvements, influx of popular/successful businesses.

Preparing to Buy
Before engaging an agent you must do some research and decide upon your requirements. These should include but are not limited to:

  • Size
  • Location
  • Accessibility
  • Exposure
  • Usage
  • Office/showroom/warehouse components
  • Price range
  • Car parking capacity

Once you have researched your requirements it is time to contact an agent and ask them to find you a suitable property.

Organising Finance
It is important that you know what you can afford BEFORE you enter into negotiations with a vendor. You should ascertain your borrowing capacity from banks or financial institutions taking into consideration deposit and repayment amounts. There are generally a number of costs associated with buying/leasing a property which are in addition to the purchase price including:

  • Legal/conveyancing fees
  • Stamp duty on the transfer of property
  • Stamp duty on the mortgage
  • Loan application fees
  • Insurance
  • Adjustments such as council and water rates