Our checklists ensure that we select
growing areas even during non boom periods. This
is the 10 point check list used by a Sydney investor
with 900 investment properties.
- Only areas experiencing strong
population increase.
- Only land locked locations i.e.
short land supply and nowhere left to expand
to.
- Vacancy Rate 3% or less. That
really is close to full occupancy.
- Only areas 90% owner occupiers.
Even normal healthy balanced suburbs are 70%
owner occupier ( that's 30% investment properties).
We like it better than that so that only 10%
of the area is investment. These areas sustain
better in the long term.
- Cheaper than surrounding areas.
In other words there should be more expensive
areas nearby where we have some likely catching
up to do.
- No recent significant capital
gain. We don't want to buy just after an area
has tripled in value. Even at the end of boom
periods, there are always pockets or niches
that haven't yet had their full run.
- Percentage rental return (compared
to other areas)
- Schools.
- Transport.
- Infrastructure.
I
can't say it any more lightly than to say if you
are ever thinking of buying an investment property
that doesn't fit EVERY small aspect of this list,
it's better to go to the races. You HAVE to do
it right to get progress we experience.
Of course there are many other criteria in the property selection not mentioned here. Canterbury clients come to understand we have a lot of unique intellectual property.
Canterbury clients are made to feel safe and secure all along the way. People's circumstances can change without notice. That's why we provide a safety net. Because of the confidence
the checklists instil, Canterbury are able to
provide clients with a guarantee to resell their
property for at least what they paid. Also, Canterbury
will pay for lost rent during the first 3
years. Copies of guarantees
are available on request.
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