Be aware of people trying to sell you dream new apartments/flats or dream investment properties interstate-particularly in Queensland.
It's very likely that these type of properties are loaded with hefty commissions which are paid to the person that sold you the property.
Don’t ever forget some property basics if you want your investment to increase in value: Location, population growth, amenity and land component.
The lack of a land component & rarity with an Apartments twenty stories up in the air in the CBD Melbourne for e.g.-makes for a poor investment -if you are looking for capital growth.
That is why banks are very careful in their lending for this type of property. Different story if you have bucket loads of money and are only wanting a return on your investment through a rental return.
Similar story, if you are sold an Investment house in Queensland. The fact is that Melbourne & Sydney are still the major drivers of the Australian Housing market-making up nearly 60% of where new migrants settle.
Don’t be fooled by the glamour and glitz of the selling Agents presentation, in trying to sell you that new high raised Apartment or Interstate property.
Keep in mind, that land in a sought after area appreciates and that buildings always depreciate-that is why with rare exception- inner City Apartments hardly ever appreciate in price.
Ensure you do your research, ask a lot of questions and buy the highest land component you can afford and make sure it’s also balanced off with the other features I mentioned earlier.
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