seven professionals to talk to when you buy an investment property
When buying or selling an investment property it is important to have the right professionals to contact in order to get the best advice.
So who are the professionals you need when investment properties are involved?
Everyone should have an Accountant who understands property and all the implications regarding Tax, GST, CGT and Land Tax. Ownership structures such as Trusts and Superannuation Funds are equally important as it can affect what you may have to pay in land tax and other taxes if setup incorrectly. It is always best to talk to your accountant first so that you have the correct information for when you are ready to sign a contract. This can save you lot of money as if it is done incorrectly there could other implications that you may have not thought of.
A good broker or banker makes sure that your finance is all in place and ensures the transaction goes through smoothly. It is really important to check your financial situation and find out what your lending capability is. Talk to them before you even go looking for a property so that at least you know how much you can afford to borrow and accordingly the maximum value you can buy a property for.
The right agent can make your life so much easier if you are selling an investment property (or any property for that matter) so select this person carefully. Getting the wrong real estate agent could make or break the profitability of the transaction and you may not achieve the sales you are after. Your agent needs to have all the “right” information for the Contract and Form 1. The relationship you have with your real estate agent is really important so that you achieve the best result in a timely fashion so find someone that you are comfortable talking with and one that you can trust.
Your property will manage the property for and find the right tenants so that you can achieve the maximum income from your investment. They need to care about you and your property and will know if the area popular with tenants. They will also know how the rental market is at the time you are looking to purchase so it will be a good idea to talk to them before you purchase a property.
They will also advise if any work will need to be done to the property to make it more attractive such as new carpets tidying up or painting
As you are buying an investment it always a good idea to talk to your financial planner. They can assist in how to setup your investment so that it works for when you retire and can discuss the benefits of having property with a self managed superannuation fund. If you are selling they will be advise the best time for you to sell and point you in the right direction of where the proceeds are best invested for your future.
Your conveyancer will work with all the other professionals you have as part of your team and will make sure everyone is on the same page. Getting them on board before you sign is the best thing you can do. Make sure that you talk to a conveyancer and discuss everything before you start the process of looking for a property so that everything can be setup in readiness. This will ensure the process is a seamless one for you.
In all property transactions it is in your best interest to discuss with your lawyer about having a will and powers of attorney in place to protect your family’ interest in the event of a disability or death. Succession planning is a vital part of you owing property as without these documents your estate could end up in the hands of someone you do not want to have it.
COMMUNICATION IS THE KEY!
As a purchaser or a vendor of an investment property at some stage you should have discussed your venture with most if not all of these professionals.
Communication is the most important part of getting it right! Therefore, everyone will need to be on the same page and be able to understand what you are trying to achieve. You are the integral pat=rt of this after all it is you who is doing the buying or selling!
Remember to talk to them before you start the process of even looking for property. Being fully informed before you sign will save a lot of headaches and should ensure a seamless stress free process.
The team at McKay Business Services are all members of the AICSA and are proud Adelaide conveyancers