No doubt, people invest in real estate to become quick rich. As it is lucrative and alluring kind of business where you need time, money, research and efforts to make money. But the question that pops in the minds of the investors – Which kind of property is best for investment purpose and what kind of property investment is best? But before knowing about the best type of investment property it is vital to understand your financial capability, interest, time you possesses and your core objective behind this.
After knowing all this then only you should proceed ahead. Otherwise you end up with confusion. You should take valuable advice from the expert property valuer or home valuer before taking any decision in the real estate property. As your single wrong decision can make serious financial losses instead of profits.
Here we have listed some property types in which you can make an investment as per your need and which suits you –
Rental property – Buying the home and becoming the owner by giving the property on rent is the best way to generate fixed monthly income. But while choosing residential rental property for investment you have to count your expenses first. Like maintenance cost, property insurance, property tax all will come under landlord’s account. This kind of property is best in the long run. If you are buying the commercial property for rental purpose then you need large amount of money which is much more than the amount you will pay for buying the residential property. Commercial properties are expensive to buy but the rental income generated via commercial property is more. Thus you can make more profits via commercial property investment. But to be true you need large amount of money when you buy commercial property.
House flipping – This one is the short term of the investment. You buy a undervalued property, renovate it and then sell it at the higher price. To become a quick rich person with property transactions house flipping is the best one. Though it is good for short term profits but these kinds of investments need right market knowledge and research. The cost and risk associated with the house flipping is higher. It requires intense planning in all sphere like finding the right property, financial aspect, selection of renovation tasks, search the right contractor and then selling it to prospective buyers.
Lands – This is another type of property investment. Real estate investors like to invest in the vacant land. As the expenses related to land is very less as compare to buying a property. Only you have to pay the property tax rest no maintenance charge you have to for vacant land. You buy the land and then you need to find the seller you can give you right value of the property. You should sell your land at higher price to earn money. It might possible you will not get money from the lender while investing in the vacant land. So you need to save large amount of money to invest in land.
These are all about different type of properties in the property world. For best property valuation Perth or commercial property valuation services you can contact us. We have team of best home valuers.