The value of patience in property investment

Like most successful investment strategies, time and patience are two key factors when it comes to achieving solid returns on the property market.

In fact, the opposite traits – those of a “get rich quick” mindset – can be dangerous; leading to panicked decisions made without thought and consideration…and ending in financial loss.

It is the future-focused mindsets of patient investors that see them succeed. Below are some of the steps you need to navigate through as part of your property investment journey…and where a patient outlook will help you along your way.

Saving for a deposit

For newcomers to property investment, like first home buyers, the most time-consuming part of the process is usually saving the initial (huge) chunk of money required for the deposit. The amount sits between five and ten per cent of the property value…more if you’d like to avoid the additional cost of Lenders Mortgage Insurance!

However, if you find you’re running out of patience and you’d like to fast track this part of the process, then it’s worthwhile speaking to an expert mortgage broker. Contact the team at One Haven and we’ll put you in touch with our wider network of expert partners and help you find your property at the same time!

Searching for the perfect property

When you have your deposit, and you’ve spoken to your mortgage broker to determine your borrowing capacity, the next step is to search the market to find your perfect property!

But wait, not so fast. There is no perfect property! This is where it helps to have an objective observer on your side to help you focus on the fact that this doesn’t need to be your dream home, it’s your first home. Or your first investment property.

Or even if it’s your fifth investment property, it’s worth having an extra set of expert eyes on your side to help you weigh up the pros and cons of the area, the property, should you purchase new or established, off the plan or knock down and build, apartment or townhouse, and so on…thorough research and understanding is mandatory, whether you do it yourself or engage a professional to do it for you! The research phase isn’t easy, it takes time and patience, and it’s always worth your while to speak to the team at One Haven for advice.

Negotiating the best price and settlement conditions

Now that you’ve found your perfect property, or as near to it as makes logical sense, it’s time to negotiate. Ideally minus the emotion. Because the more emotionally invested you are in the property, the higher the likelihood of making a decision that may not be in your overall best interests. And as a buyer you have greater negotiation power than you might think! Before putting in an offer make sure you understand what factors you can use to leverage a better price, or more inclusions on a new build, or more flexible settlement terms. And if you’re an investor then it definitely pays to go to a professional team like the one at One Haven to access those properties that may not even have been advertised!

Buying and holding

Now that you’ve bought, it’s time to hold your property! The buy and hold strategy can be applied to any investment strategy where an investor purchases an asset (whether that’s shares, or property, or artwork, or whatever takes your fancy), then holds the asset over the long term, patiently riding out any market fluctuations and waiting for the value to increase.

But when it comes to real estate this doesn’t mean that you’re just sitting around waiting for results to roll in. In fact, you should have your eye on the next step in your property journey…

What’s next in the property journey

Here at One Haven we are Australian investment property specialists. Whether you’re seeking capital growth, yield or other niche opportunities, we’ll help you to successfully navigate your way through market, contract and financial complexities. We can provide you with the best advice, help you find the best property, and assist you with building your portfolio and growing your personal wealth. So don’t wait, speak to our team and kickstart the process straight away. Contact us.