• Check out the neighbourhood – the amount of rent you receive and the quality of tenants you attract depends largely on the type of neighbourhood you are buying your rental property in. For example, if you are buying an apartment near a university, the chances of having student tenants is really high. This means there will be peaks and troughs in demands for your apartment, depending on the time of the year, but you are also guaranteed a pool of potential tenants.
• Know about the taxes – Property taxes differ from place to place so make sure you are fully aware of the amount of property tax that you will be paying on your investment. When planning your finances you should make sure that your rent covers the property tax and mortgage payments on the property. Depending on where you are buying the property then you may also have the potential for an extra bit of income above and beyond your expenses.
• Criminal activities – Make sure the neighborhood is safe, as no one wants to live in a place known for criminal activities. It will be difficult to find tenants for such a property. Make sure you do your research based on publicly found records rather than asking the parties who are interested in selling their property to you.
• Quality amenities – Properties that are located in areas which are close to malls and have schools, parks, and hospitals in near vicinity are generally priced higher. They will sell at a good price but you can expect good rental return on it compared to a property that isn't near popular amenities.
• Future developments – This is something you should always keep a lookout for. You can get the information of new buildings coming up from the local council planning department. This will help you know how these new developments can benefit the value of your property and also of the developments that might hurt your investment down the track. For example, if a mall is due to be built on green land that is used by the community.
Armed with these basic tips you will be well on the way to finding successful rental properties in Dunedin
or Otago. Click Property Management Dunedin provides property management
services throughout the region and can help you find an investment property within your budget. Visit their website today at Click Property Management www.clickpropertymanagement.co.nz
to discuss your property investment options today.