How to go about finding the best investment property to rent out

Julie Brownlee, Fsp Invest, 23 Oct. 2015

Tags: property, investing in property, finding investing property, how to pick an investment property, property investing,



Property is a great long-term investment.

It has two major benefits. Firstly, you should see the value of your property rise over the years. And secondly, you should receive rental income from tenants.

So how can you find the perfect investment property?

Let’s take a closer look…



The most important aspects to consider when picking an investment property


Investing in property can help you grow your wealth over the years. One of the most important aspects of property investing is finding the best property for your budget.

The first thing you need to consider is what sort of property you want to buy. Are you looking to buy a larger house to rent out or a smaller townhouse or apartment?

To do this, you’ll need to decide about a few things…


Where do you want to buy the property?


Obviously location has a big say on the price of property. But it is also important as it will dictate the demand and rent you can charge.

The old adage location, location, location is very important. Make sure you buy in a location that will see demand continuing into the future and isn’t dependent on one industry for tenants.

Once you have an idea of where you want to buy and what type of property you want, speak to rental agents in the area. You could pose as a prospective tenant or someone looking for an agent to let their property.

You want to find out how much these types of properties are charging for rent on a monthly basis.

Speaking to a rental agent will also give you a good idea of demand in the area. If demand is high for properties, this is a good sign.

Once you know the answers to the above, you can decide what you can afford to buy in the area and how much income you’ll generate from it.

Then you can start viewing prospective properties and find the right one for you.

So there you have it. How to go about finding the best investment property to rent out.

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