When looking to invest in property it is important to identify all of the factors that will lead to good return. A well sought after suburb shouldn’t be your only criteria, advised Property Observer.
Often properties outside of prime locations can be better hotspots for investment because they have more room for growth. Looking at the two suburbs around an attractive area can often open your eyes to some real growth potential.
Development in an area can also lead to significant growth. For example, if you buy a short distance from where a shopping centre is being built you can expect to see property values increase.
Buying a property in the middle range of a suburb’s housing values is also best because these properties are most likely to increase in value. The most expensive property won’t gain as much on its worth than those in the middle.
Street appeal is important because tenants often base decisions on the look of a place. If the frontage is dark and dingy then this will not be appealing to tenants.