A lot of our clients often come to us saying ‘I want to invest! I like this property that I saw on your website, tell me how big the rooms are?’ Every single time, we have to ask them to take a step back, especially if they are first time investors or even first time property buyers and get them to ask themselves the question ‘Why Am I Investing in Property?’
For most people, besides to enjoy capital growth over the long term, it is to build wealth from now until retirement so that they may enjoy a good standard of living after they have clocked off for the final time from their 9-5.
And what is wealth at the end of the day? A dollar number that is large enough to sustain your desired standard of living. A number. Not the size of the secondary bedroom, whether or not there is a lazy susan in the kitchen or any of the dozens of minutia that will have no bearing whatsoever on the long term capital growth and day to day rental returns for a well located property.
Stick to the key numbers of price, yield and how much money you have to work with and stick to them when choosing the right investment property for you. The key is to remain focused on the big picture of long term growth with good after tax cashflow.