It is hardly surprising that those looking at property investments for the first time are drawn to apartments as their number one choice. Especially off the plan and brand new apartments offer a range of benefits to investors, including lower down payments, lower maintenance and repair costs over the long term and they are highly attractive to tenants. So let’s look at five tips on buying apartments and what you should be looking for in an investment.
1. Off The Plan Apartments Versus Established Property
Choosing an off the plan apartment as your first property investment has a number of advantages for first time investors. Getting in early on the first release of a project will ensure that you have greater selection and can choose the apartment that you think will deliver you the best return on your overall investment. Off the plan apartments are lower maintenance and allow you to lock in your ownership with a smaller initial deposit.
The old adage of “location, location, location” might be known by everyone these days but it’s amazing how relevant it still is for property owners and their tenants. All the studies and surveys show that apartments in inner city areas of major capital cities still are top of the list for young professionals and increasingly retirees. All capital cities in Australia are seeing major demographic shifts with government and business responding to meet the needs of these new urban dwellers.
3. Quality Of Construction
The developer of the project matters. Developers with a track record for building high quality apartments with a history of delivering on-time are the best people to work with for people making their first property investments. New developments have warranties with respect to the quality of the build so this will ensure that as an investor, your out of pocket expenses are considerably lower for the general upkeep of your property investments.
4. Facilities And Amenities
Tenants are generally looking for convenience and a high quality lifestyle without the commitment of having to own and maintain their own property. Access to on-site facilities like pools, gyms and well cared for common areas attract good tenants and are things you should look for when choosing your first off-the-plan property investment. Some off the plan apartment developments are now taking these amenities to the next level by having Wellness Centres, barbecue pits and in some instances, on-site daycare facilities with preferential access to tenants.
5. Good Design
It’s one thing to want to buy an apartment, it’s another to find one that has a great design and open plan layout. Tenants these days want open, bright and airy designs, with the kitchen as the hub of the living space. They also look for flexible floor plans that offer extra rooms such as media rooms and study nooks. As more people work from home having these type of flexible designs in mind when selecting your property investments is something to consider. The best idea for those looking for property investments when looking for apartments is to visit many display units and developments to get a feel for what works and what doesn’t.