6 The Dos and Don’ts of Investing in Real Estate Rental Property

 There are a lot of reasons in invest in rental property. They can provide a steady income in a slow housing market. They can help build equity in a retirement of vacation home. They also allow first-time buyers to enter the market.

Before investing in a rental property, have realistic expectations. Do not expect a quick profit, since rental properties are typically a long-term investment.  Resale prices are usually based on incoming revenue, not on home prices.

With that being said, it is important to know your market. Normally it is wise to buy a rental property in the nicest neighborhood you can afford. Important facts like school districts, proximity to public transportation, employment rate and crime rate are good to know.

The character of the neighborhood is key as well. Certain types of properties will have different sorts of tenants. For example, a duplex in a cozy family-oriented neighborhood will receive less turnover or wear and tear than in a college neighborhood.

It is also important to be patient. If you price your property too high you could lose money because of vacancy. If you price it too low, you could lose money overtime. It may be wise to consult a fellow professional on the matter, who can help weigh the trade-offs in a particular circumstance.
Once you find a property, it is essential to find quality tenants. Bad tenants will damage your property, run up maintenance costs and if they abandon your property, leave you with a vacant property that is losing money. Good tenants provide a predictable, steady income and take good care of the property.

3 Understanding your rental agreement – five things to keep in mind

It is always exciting when you move into your own place, whether you are purchasing or renting. But remember, just like a mortgage, signing on for a lease is more than a big step: it is a legally binding agreement. Wherever you are renting real estate, western suburbs, Melbourne to Allura to inner city Glebe, you are bound by your rental agreement. Here are five things to keep in mind.

1. You have to fill out an application form first

It seems you have to fill out an application form for almost everything these days, and a rental property is no exception. Once you find your dream rental property, you’ll need to fill out a tenancy application form, which enables the landlord to check your references and credit history. If your application is successful, the landlord will give you your rental agreement.

2. Your agreement has a time frame tied to it

As with any other document, make sure you read your rental agreement carefully. The first thing to look out for is the time frame tied to the agreement. Is the contract for a fixed term or periodic tenancy? The latter is usually renewed on a weekly or monthly period and

11 The Cost of Moving House

Moving into a new home can cost a considerable amount of money. The amount of money that is required to move depends on numerous factors. Moving is one of the most important financial decisions that you can make which is why the cost of moving has a direct impact on the entire moving process.

The property market and estate agents

Moving house requires additional costs because there are various purchasing requirements. This includes buying items such as removal boxes or new furniture. Buying these items contributes to the cost of moving. Stampduty and other forms of tax can also add to the cost of moving house. These are mandatory and part of the legal moving process.

The cost of moving house also depends upon