Investing in property is not a get rich quick scheme, nor is it without its own risks. Let’s take a look at why it’s important to see your investment for the long term.
The ebbs and flows of the property market
There will be ups and downs with any long term investment and property is no exception. But history shows that, particularly in capital cities, property experiences positive capital growth. It is not just the bricks and mortar that increase in value, but rather the value of the land that has the most impact on property price. The more demand for land in an area, the higher the value.
The outlays of stamp duty, strata levies and mortgage insurance will take some time to be recouped in order for you to start making a profit.
Just as there are expenses with buying a property, selling your investment will come with additional costs which will eat into your profit if sold too soon.
Keep your eyes on the prize and invest in property for long term growth and maximum returns for your financial future.