Buying a house or investing in real estate is a very important decision and one must be patient and do proper planning before coming to a conclusion. It is also considered one of the biggest investments in life and most of the time the amount might be your life time saving. Here are 5 simple rules that an ordinary investor must know and follow before investing in real estate.
1.Make sure that your initial investment is preserved. When you read the sentence, it might sound simple but it is not because most of us just think about making money through real estate investment. If you are buying a house make sure to do proper research. The value of property will only grow if you have invested in one that provides seamless connectivity like the Palms at Sixth Avenue and has all the amenities. You must also be able to time the market and be aware of all the legal formalities and rules. If you are new and do not have any idea about real estate then do not hesitate to take experts help. There are many renowned real estate companies in Singapore and you can appoint any one of them to make the process smooth and ensure that the investment is safe.
2.Investment in real estate is not like gambling where you can make instant money. You must invest only if you can hold and wait for the fund to grow. If you have limited resource and thinking of selling the property off and make money in just a few days or in one or two years then that might not be possible. Investing in good property like palms sixth avenue Singapore means your money is safe and you can let it out on rent for monthly income. Later you can time the market and sell it off to make money.
3.You must have control over your investment. Property does not mean you will become rich in a day. Before you invest make sure to work on your budget. If you are planning to take loan then see what will be the loan amount that you want to apply for and then think if you will be able to manage the loan repayment instalment with your regular monthly expenses. If you want to buy in cash then do not invest whatever you have. Always keep aside money for emergencies and expenses. If you buy a house with whatever fund you have and then the market dips, you will not be able to sell the house and even if you do so you will have to bear the loss.
4.You must invest money in something that you understand well. If you have no idea about real estate then it is always better not to think about it for making money. But if you are a home buyer then you can take experts help so that you select the right and best house.
5.If you are planning to appoint a real estate agent to help you in the process of property investment then make sure to select a renowned company. You must do some research and check their past record before hiring.
Maryann Wilson is the writer of this article. She involved in real estate business. Here she discussed about the residential property of Palms Sixth Avenue Singapore .