A classic question in the property market has always been – buy or rent? Rentvesting allows you to do both. It involves renting a place to live in at the same time as buying an investment property.
It’s an unfortunate fact that house prices in Melbourne are among the most expensive in the world. Many young Australians (Gen Y and Millennials) are convinced that entering the property market is simply beyond them, even with the help of their parents. Thirty-five years ago, the average home cost three to four times the annual average wage. Today, homes cost nearly ten times that amount.
Owning your own home has always been the great Australian dream and rentvesting can help to make it possible.
Rentvesting can allow you to:
There’s an old saying that there are three important considerations when buying property – location, location and location. It’s especially true when it comes to investment properties.
It’s easier to attract good tenants to investment properties in good locations. These properties also tend to increase in value by more over time than properties in less desirable locations.
Good investment property locations tend to be:
Ideally, you are looking for suburbs that will outperform the market average in terms of future growth. These opportunities always exist; it’s just a matter of doing your research to find them. You may be able to find yourself a bargain.
As with any financial decision, we recommend you seek independent advice to help you determine if rentvesting is appropriate for your financial circumstances.
At ARG Finance, our experienced team of home loan brokers can help you to get an investment property loan. We’ll take the time to understand your individual circumstances so we can provide you with appropriate advice.
Contact us today for an obligation-free chat to find out how we can help you!
Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.