The real estate properties around the world are broadly categorised under two heads – residential property and commercial property. Both the properties have some intrinsic values that the customers look for when buying. For instance, a commercial property by default must be centrally located that is frequented by a good number of people on an average. In other words, a commercial property should be at the important crossroads of a city/town.
On the flip side, residential properties especially those premium ones should be on the important roads and the surrounding areas must have with amenities like swimming pool, gardens etc. In other words, when you look for a residential investment property, always buy one through which you can earn good amount of money towards rent and reselling of the same in the near future.
What you should know about a Residential Investment Property:
An investor purchases a residential property to earn money. Hence, he/she should essentially know a couple of things in advance before any purchase here.
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Know the area: To our findings, it is extremely important to know the area of a residential property where the same is located. Is it in a posh area or at a place far away from the nearest city? If it is within the city limit, then you ought to know how far the property is from the most happening places such as the malls and the multiplexes, major transit points, schools and colleges, and medical facilities. All these count when it comes to letting out or reselling the property. It is important to mention here that no family those especially having kids and old people would love to reside at a place where access to the stuff mentioned above is not easy. In the process, the demand and the value appreciation of the said property will go down for sure.
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Know the property on sale: Having said this, we mean you must do a comparative study before purchasing a residential investment property. After all, your purpose of buying the same is not to live there. Instead, you want to earn money from the property. So, compare a few properties in an area in terms of their aging, architectural nuances, amenities, furniture and fittings, and others there. Such a study will definitely help you choose the best investment property in a market and in essence, you would get the better value for your money.
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Future development plan: The development plan of a city or town keeps changing in each city/town planning that is carried out from time to time. A property, for instance, may be located at a place that is not so important, but the area has been included in the draft master plan of development of that city/town. It means, soon that area would undergo a series of development activities and thus, would attract a substantial attention and importance as a residential and commercial destination.
Set your priorities first before you purchase a residential investment property. This will effectively guide you the best while proceeding along the buying process.