Home
  • plan
  • Invest
  • Property
  • enquire now
  • Learn
Home
DPN
  • plan
  • Invest
  • Property
  • enquire now
  • Learn

Strategy

How property investment works

For seasoned experts, the basic nuts and bolts of property investors come as second nature.

TAGS

Strategy (151) / Beginner (579)

For seasoned experts, the basic nuts and bolts of property investors come as second nature. But if you're only embarking on a first time property investment, you're not likely to be as familiar with the basics of the process. 

Allow us to provide you with a brief overview of some basic knowledge no Australian property investor should be without. 

Strategy is the lifeblood of your investment

No one invests in a vacuum. If you're starting a property investment portfolio, it's probably because you have an end goal in mind, whether it's improving your current lifestyle with a source of passive income or having enough to comfortably live on when you retire. 

FREE - No Obligation

Ask us for a free Property Investment Plan

From here, you've got to evaluate your financial position and square it up with your goal. This involves some hard questions, such as: When do I plan to retire? Where am I right now, financially? What timeframe am I working with? A good understanding of your financial situation will let you know what kind of strategy and portfolio size you should take on.

Capital and rental growth

Key to achieving your goals are the concepts of capital and rental growth. As far as the latter is concerned, you ideally want a cash flow positive property, where the amount of rent you receive is greater than the property's other expenses. You can put this extra income toward an improved lifestyle, or use it to save for retirement. 

 

RELATED LINKS

> How to guide: The costs involved in purchasing an investment property


As for capital growth, this simply refers to the gradual increase in your home's value over time. Unlike other types of investment, property requires time and patience to see huge increases in value. If you hold on to and successfully maintain your property over the long term, you're more likely to come away with a handsome profit at the end of it. 

Be sure to get in touch with a team of property investment professionals to help you in this goal. Direct Property Network, for example, can come up with a tailored Property Investment Plan for you, as well as do the groundwork in helping you figure out where to invest and even assist you in securing financing. 

 


Follow us on Twitter for more news, tips and inspiration.
Like us on Facebook and Google+ explore our Pinterest boards.

Like this article or found it helpful? Share it!

Newsletter

Receive our articles directly to your inbox

Next article

Positive, negative and neutral gearing explained

Go to articles list

Programs

Work with us
Giving back
Become an affiliate
Refer a friend
Help desk
Property Management
Finance

Locations

Head office
Australia
Hong Kong
Singapore

Contacts

Toll free in Australia
P. 1300 723 318
Outside of Australia
P. +61 2 9525 2033

Social Media

Newsletter

Terms of use | Privacy policy | Guarantees

This information is provided by DPN Pty Ltd ABN: 94 630 700 186 Australian Credit Licence 514759. DPN Finance Pty Ltd is an authorised credit representative 504129 and related entity of DPN. Credit for Dream Big 100% Offset and Work Smart 100% Offset is provided by Adelaide Bank a division of Bendigo and Adelaide Bank Ltd, ABN 11 068 049 178 and Australian Credit Licence 237879. Casa Capace Operations Pty Ltd, NDIS provider number 4050038018 trading as Casa Capace.