Buying property can be a daunting task for many. It is usually one of the biggest transactions an individual will make in their life. Not to say that someone’s entire financial investment and future is tied up with a property. But, the problem is buying and not getting carried away.
Emotions can be your worst enemy. If you are a highly emotional person, then it may be better to seek a professional buyer’s agent to purchase on your behalf. Whether you are the ultimate consumer and fall in love with everything or the most competitive person in the world, any emotion that can lead to you overpaying for a property is a bad one. Hire a professional, pay the fee and save yourself plenty of money.
This leads into the next subject, ego. Having an ego when buying is just as bad as emotional buying. Ego’s can blind you and the notion that you are better than everyone or you can do this yourself, well, let’s just saying having to prove yourself will just lead to you blindly throwing you cash away. Get your ego in check, make level headed decisions and run the numbers.
The best strategy when buying property is purchasing for the long term. The notion that property will always go up is correct to some degree. It will come down in price, but it generally goes up more than it comes down. Each cycle you own a property in will see your wealth grow. In many cases, this is for the future of your children or loved ones. Cycles typically go between 7-10 years, so the longer you hold off, the stronger your investment. Buy today but set yourself up to hold on to the property for the long term. This means, don’t borrow everything the bank is throwing at you on low interest rates. Think about if the interest rates were 13% and see what your loan capacity is at. This will safeguard you through the low times.
The following advice is of a general nature and intended as an opinion and broad guide. For all legal, financial or real estate advice you should obtain independent professional advice to do with the specific nature of your circumstances before making any legal, financial or real estate decisions.