The Key to Any Successful Property Investment

One of the most important aspects of any property investment venture is the Due Diligence process that must be carried out before committing.

This is the stage where you determine if it is a deal or not a deal.

This is where you make your money.

Too many amateur investors get this part wrong by either skipping the due diligence steps, guessing the numbers, and getting emotionally caught up in the whole buying process.

Because it is an exciting thing to be getting involved in, taking a potentially run-down house, and transforming it into something beautiful that any family would be proud to live in.

However, we sometimes have to put our emotions to one side so that we can make an informed decision that is going mitigate as much of the risks as possible and ensure that your investment is a sound one.

Now before making any offer on an investment property there are a few steps that need to be taken to help you decide whether to proceed or not.

If we are looking at a property to add to our portfolio for example.

The first thing we want to be making sure of is that the property is in an area with high rental demand with good local amenities and good transport links for people getting to and from their place of work.

"Due Diligence is key....You have got to know your numbers"

After the initial viewing, its best to consult with your builder to establish the costs of refurbishment work needed to be carried out on the property to bring it up to a high standard for your future tenants.

Knowing the end value of the property and the achievable market rent will be key to establish the sort of returns you can expect from your investment once all the work has been completed.

With all these facts and figures collected and the numbers have been crunched, if the numbers match your investment criteria, and the monthly income you want to achieve from your property.

You will know exactly what your offer should be and have the confidence that once it is accepted there is nothing stopping you going ahead with the purchase.

It cannot be stressed enough that due diligence is the decision maker when it comes to your property investments.

You have got to know your numbers.