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8 Steps to getting started with Property Investment

You are conducting all your research and studying ‘How-to’ manuals to go about getting started with your very first property investment. You must be studying the market dynamics of different neighbourhoods and searching through listing portals for the ideal investments.  

But are you doing all that you need to get started to enter the real estate market of South Africa?  

 

Let’s find out, shall we?

Goal Mapping 

As with all ambitions and endeavours, your journey begins by mapping out your goals and devising a game plan? Do you want to invest in one of South Africa’s many thriving residential real estate markets? Or perhaps, you want to enter the corporate market or the resort-style properties that attract tourists. You need to map out your real estate investment goals and consider the kind of portfolio you seek to establish as an investor. What are your wealth generation goals and do you want to become a landlord of multi-property investments or a single unit?  

 

Getting your finances in order 

From budgeting to applying for a loan, the most crucial step to get ready to invest is to get your finances in order. Do you have enough savings to make your first investment without applying for a loan? If yes, then you need to prepare a budget that accounts for all your preliminary and long-term expenses. These include closing costs, property taxes, inspection fees, attorney fees, upkeep and maintenance expenses and more.

 

All these aspects impact how you buy the property, whether you are buying it in your name, company or trust. In addition to that, from a financial perspective, it’s very difficult to get money from a bank if all the debt is in your name because it starts to fall under affordability issues and therefore you need professional advice. 

 

When you’ve decided to buy property, you need to touch base with a property attorney to advise how you should handle the transfer fees from a legal point of view. There are reputable estate agents and attorneys like Bruno Simão Attorneys who draft contracts, deal with commercial matters, specialising in property law and providing innovative legal counsel to all. You can connect with Bruno Simão Attorneys at https://sapropertynetwork.com/bruno-simao-attorneys/

 

Applying for a loan 

If you need to apply for a loan, you will also have to focus on improving or maintaining your credit score and debt-to-income ratio. This may take a while. However, if you are eligible for the loan, you will have to account for mortgage payments, interest rates, and more.  

Buying your first property can be challenging for a first-time buyer, after all, there are so many steps, tasks, requirements and you may be anxious about making an expensive mistake. Before you begin looking, consider the type of residence that will serve your needs, first know what you can afford, how much financing you can secure with that mentioned.

 

Once you’ve found a property you’re ready to own, contact our proud sponsor ooba Home Loans, they work with all the leading banks to assist investors to secure a home loan. Contact ooba Home Loans directly at https://sapropertynetwork.com/sc-ooba/

 

Hiring a real estate agent  

Both newbie and seasoned investors need the assistance of qualified and experienced realtors to expand their growth and ensure the success of their wealth generation ambitions. Realtors have experience and access to lucrative listings and make sure you can combat all challenges with their impressive network of industry professionals. Now the trick is, it’s not easy to get the best deals out there when you are not an expert. And that’s where SA Property Investors Network comes into play to help investors find the best deals, how to do a deal analysis, run the numbers and creative financial strategies to then implement to make a profit.

 

If you want to learn strategies to maximise deal profits, join The Property Academy and CEO Andrew Walker for this virtual exploration to get all the answers you’ve been looking for to ensure a successful property portfolio. Find out more at https://thepropertyacademy.co.za/webinar-portfolio-growth/ 

 

A Few Learning Takeaways:

  • Due diligence and how to stress test a deal
  • Progressive investment strategies for expansion
  • Enhance tax efficiency across your portfolio
  • Structure analysis to decrease exposure
  • Exit strategies to mitigate your risk
  • Alternative creative finance options
  •  

We can’t think of any #PropertyInvestor that doesn’t want to see their portfolio grow and succeed in the modern-day market we live in, do you? Register at https://thepropertyacademy.co.za/webinar-portfolio-growth/ 

 

The right location

To get started, you will have to narrow down the South African location, neighbourhood or market where you would like to invest. You are strongly recommended to embark on this step after conducting thorough research.  

 

Finding the property  

Once you’ve narrowed down your neighbourhood or area, you need to find the right property to meet your desired wealth generation goals. Do you seek a corporate venue that you can rent out to businesses? Or perhaps, a multi-family property that can attract multiple tenants.  

Your risk gearing capabilities 

Before you invest, it is important to understand your attitude towards risk, and your ability to gear any kind of financial risks? This is crucial to devising a pragmatic strategy.  

 

A purchase plan 

Once you have found the perfect property, it’s time to create a purchase plan, which is a checklist of all that needs to be taken care of. It is important to conduct thorough research on your property, followed by an inspection and appraisal. Be sure to take your due diligence seriously before you make an offer, and use the inspection report as a powerful negotiation tool on the closing table.  

 

The SA Property Investors Network is a national platform where members can:

  • gain market insights 
  • learn about the tools and tactics available 
  • network with like-minded investors and connect with key players and quality service providers in the industry.

 

Why do we do it?

 We aim to enable economic growth and expansion through property entrepreneurship and investment, thereby shifting future generations and changing thousands of lives. 

 

How do we do it?

 Our membership programs allow you to gather knowledge and network while taking the advantage of learning from those who have tried and tested various strategies and approaches.

 

Visit our website to explore our memberships, offerings and networking events to kickstart your property journey today! http://joinsapin.com/



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