01/10/2024
6 steps to becoming a property millionaire.
1. Choose flats over duplex houses
Most successful investors will tell you that smaller properties, like flats, generate a better return than houses.
If your budget can stretch that far, go for a 1 bedroom, 2 bathroom flat. The greater flexibility will make the property attractive to a wider range of tenants so it’s less likely to lie empty.
2. Be patient
Make sure that you weigh up the pros and cons of an investment before you commit. Always remember that property is a long term investment. If you want to make money from it, you need to be prepared to be in it for the long haul. Don’t put yourself in a position where you’re forced to sell quickly because you over extended yourself financially.
3. Look for ways to add value
One of the best ways to make money out of a property is to add value to it. Renovating bathrooms and kitchens, for instance, will ensure you get a better return when renting the property out and make you more money when you’re ready to sell.
4. Engage the services of professionals
You will save yourself a whole lots of headaches, financial wastages and stress if you engage the services of professionals in your decision making. Lawyers, Accountants, PROPERTY Consultants, Builders and estate Managers have information that may help you maximize your returns and avoid future challenges.
5. Don’t put all your eggs in one basket
If you were investing in stocks and shares, any financial advisor worth his salt would advise you to diversify your portfolio so that the risk is spread. The same would be true for property investments. Spread your property portfolio across different properties in different areas to minimise your risk.
6. Exploit local knowledge
There is little point in trying to spot a property bargain hundreds of kilometres away. You’re not an expert on the area and are not likely to be able to judge whether the location, price etc. are good or not.
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