Just when you thought this one was "The One"

You've found this amazing home on the Internet - everything seems perfect!  It's open for inspection tomorrow - you go and see it, and it is indeed perfect.

What sorts of things can you look out for to be sure that the perfect home really is perfect?

Developments planned in the area - or the property itself! 

Check if there are any developments planned for your immediate area - or your property itself.  What may seem peaceful might become a short-term unlivable situation.  If your property has been advertised with views - ensure that the new developments are not going to interfere with the views.

Noisy neighbours

This can be difficult to assess on an initial inspection.  If possible, inspect the property three times: Saturday night, a weekday evening and a weekday during the day.  Have a read of the strata committee meetings if they're available - it'll give you an idea of the problems in the building.

Parking issues

If you have an open-air allocated parking space, is anyone parking in it when you go to inspect?  Parking can often be an issue: visitors may park in your spot from time-to-time, and other residents may park there, too.  It can be tricky to resolve this issue.

Transport "right outside the door"

This might be a good thing, but if the bus stops literally right outside your bedroom window, consider if this is going to be ok for you.

Noisy plumbing

When I inspect properties for my clients, I make it a habit to always check the taps.  Hot and cold.  In many apartment blocks, loose pipes and plumbing make the pipes shudder and thump when taps are turned off, called water hammer.  When it is very loud, you my find yourself being kept awake at night / woken up.  Difficult to fix! 

Dampness and mould

Mould does not go well in our lungs.  If the home smells mouldy, it is.  Please move on to the next home. 

This is not an exhaustive list, but it gives you an idea of some of the things I'll always look for when I inspect homes for my clients. 

Melissa Maimann is a licensed real estate agent (renter’s agent and buyer's agent) in Sydney. She saves renters valuable time and frustration offering an affordable service that finds and secures the best rental properties quickly, easily and effortlessly. If you need a Licensed Real Estate Agent to find your next rental home for you, don't hesitate to make contact.

Rentvesting?

Rentvesting is a whole new option probably not known to our parents' generation.  Today, many tenants are also landlords.  They simply choose to buy within their budget and live where they want to live. 

Rentvesting does, however, revolutionise people's buying, living and renting strategies.  Buying tends to be more investor-driven in terms of the property being purchased needing to be an A-Grade investment property that is for long-term hold; living tends to be flexible and meeting here-and-now needs; and renting needs to be the "right" property because it is for the long-term, not a short-term stop-gap measure.

Why rentvest?

The Sydney property market is expensive, and some people struggle to afford the right type of home where they live.  However, rents are usually lower than the combined annual costs of holding property, so it makes better financial sense for people to rent where they want to live, tax-deducting all of the costs of holding a property while it increases in capital growth.

The unfortunate reality is that the longer you take to buy a property, the more the market goes up, and the more difficult it may be to ever get into the market.  A better idea is to buy something that you can afford now, and rent.

Are there any benefits rentvesting?

The main benefit of rentvesting is that people can enter the property market much earlier.  Let's say someone buys a $400,000 property today in Sydney at age 25.  In 10 years, that property may be worth around $700,000 - $800,000 - but all of the mortgage interest, water, council and strata fees would have been tax deductible.  In 10 years, that same person is potentially in a better financial situation that what they were in at age 25: partly because of the increased capital growth of their property, and partly because they would have had more years in the workforce and be better established.  They are now in a position to:

• Buy another investment property; or

• Buy a home to live in

Put simply, the sooner a person can get into the property market, the sooner their property can generate capital growth, and the sooner they can start to build real wealth.  There are very few asset classes that offer the same risk/benefit profile as property.  Well-purchased property makes excellent capital gains at low risk.

Research is the key

The key to a successful rentvesting strategy is to buy well.  That's not necessarily a property that you love.  It is an A-Grade Investment Property.  Careful and thorough research and analysis are needed.  If you are a tenantwho is seeking to buy an investment property, get in touch today - I'd love to help you!

TIPS TO SECURE A RENTAL PROPERTY

Here are some helpful tips to consider when you're next applying for a rental property. 

Essentially, it all comes down to making a good impression with the property manager and landlord.

• Submit a neat and complete application. When agents receive multiple applications for the same property, the ones that are complete (with all supporting documents) and neatly presented tend to go to the top of the pile.

• Complete all the information required in the application - this includes providing all of the supporting documents. Also remember that each adult who is going to live at the property needs to submit their own application. Ensure all the contacts and references are contactable.

• Be thorough as you can be, and provide as much information as possible. Make your application stand out by submitting a cover letter that outlines why you're a great tenant.

• If you have a pet, include a photo of your pet and a reference from your current agent.

• Turn up to the open home neatly attired. If the agent can see you look after yourself, they'll believe you'll look after the property, too. Treat the property with respect when you inspect it.

• Be available to pay the holding deposit once you’re accepted and be in a position to pay your bond and an additional weeks' rent before you start the lease.