If you are considering purchasing an apartment / unit as an investment property you may wish to refer to the following top tips from Mortgage Choice, to help you achieve the most from your investment strategy:
- Apartments, on average, are less expensive to purchase and to maintain than houses. For this reason you may be able to afford a property closer to your ideal location than expected if you choose to go with an apartment rather than a property with land.
- Apartment owners and renters benefit by not having to maintain external grounds such as mowing grass, weeding and fencing requirements.
- It is a good idea to be closely involved with the body corporate so your opinions about the running and maintenance of the apartment complex are heard. Be sure to attend meetings and perhaps even become a member of the committee.
- Apartment living appeals to buyers looking for a particular lifestyle. If you plan to eventually rent out or sell your property, consider the type of person you will be trying to attract. For example, a small apartment in a busy inner city suburb is less likely to attract a small family; they would typically be looking for a large apartment nearby to local schools, parks and facilities.
- If renting out your apartment, it is a good idea to remove items that will require maintenance. For example, a landlord may charge an additional $5 a week for a microwave or appliance however they are then required to maintain that item in terms of repair and maintenance should it break, which could cost more than the rent being charged to have it available to the tenant.
- Keep in mind that landlords for apartments/units are required to pay water utility bills.
- Choose an apartment that is located nearby to public transport as many apartment dwellers enjoy the smaller space and have fewer assets, such as cars, and therefore don’t require parking spaces and large storage areas.
- Understand that the larger the apartment complex, (usually) the higher the strata fees. This is especially the case for complexes with elevators, pools, bbq areas and other high maintenance shared areas.
- Consider the mobility of those who will need to access the apartment. For example, a senior or a young family will be less likely to feel comfortable with trekking up and down three flights of stairs every day.
For more information contact Richard Windeyer on 1800 01 LOAN or click here to "Book a Meeting"