How To Invest In Property – 5 Myths Dispelled

Many Australians who desire to prepare early for their retirement and become financially stable often look into property investing to achieve their goals. Investment property has, without a doubt, served as a gateway to financial freedom for many investors as it is less volatile than other forms of investment. However, despite the success of property investors, there are still some people who avoid taking the plunge because of the various myths and misconceptions that surround the Australian property market.

To clear away the clutter, here we dispel some of the myths about how to invest in property:

Myth no. 1: You can do it all by yourself

Because of the plethora of information available online, some investors think that they can manage their investment all by themselves – from buying investment property to finding the right tenants. This DIY mentality is often the reason why first-time investors fail as some of their decisions may be based on emotion, not logic. However abundant property investing guide and tips are, enlisting the help of property specialists with years of experience in the industry is still the way to go. They can teach you the ins and outs of the Australian property market and support you as you begin with your investment property journey.

Myth no. 2: You need loads of cash on hand

Some people use the excuse of lack of money for not investing in property. However, even those with average incomes can enter the property investment route as long as they are guided with the right financing options. Investors who have built up significant equity for their own homes can also tap this and use to avail of deals offered by banks and other financial institutions.

Myth no. 3: Property investment is risky

What form of investment comes without any risk? Investment property, compared to stocks or mutual fund investments, is considered safer since the market has a slower cycle and you can have full control over your property, which means you don’t run the risk of losing your hard-earned money in the next hour. Mitigating risks is also possible with the appropriate insurance systems, and that’s where your team of property mentors can come in.

Myth no. 4: Good properties have already been taken by competition

If investment property is such a viable venture, then perhaps all the good properties are already taken by competitors? Again, there is no truth to this. There are still so many opportunities and properties out there that are yet to be discovered. All you just need to do is browse through some investment property listings and do some research.

Myth no. 5: Residential properties are better than commercial investment properties

Residential and commercial investment properties both have their advantages and disadvantages. And the only way for you to tell which is riskier or more profitable than the other depends on your investment knowledge. Some investors may prefer residential properties because of easier financing, while others may choose commercial properties since it may offer greater returns. There is no one-size-fits-all approach that caters to all property investors, so the trick is to assess your current situation because what may have worked for other investors may not work for you.

Believing in these myths and letting them influence your investment decisions is a sure-fire way to get trapped into investment troubles. Here at Investment Property, we make sure you get the right information so you can grow your investment one property at a time. Talk to us today and let our team help you reach your investment goals.

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