Posted: Tuesday 9th October 2018
The world of property investment or real estate is extremely rich, dynamic and at times, quite hard to handle. Investing in property is a huge step for most individuals, unless it’s a full-time job and you’re used to spending hundreds of thousands of dollars on apartments, houses, and land. Despite its challenging nature at times, property investment is extremely popular around the world. Apart from being one of the easiest investment types to understand, compared to investing in bonds or stocks, for example, it is an easy way to get a return on investment.
The perks of property investment are the immense wealth creation opportunity this activity provides. So if you’ve managed to save up s decent amount of money and are wondering how to spend it, consider property. However, if you are a beginner or someone who is not fully confident in their ability to follow the changing market, prices, and trends, it is worth looking into the option of working with a professional who can save you tremendous research time and have the ability to guide you towards making the best decision that will give you the highest returns. This is where property investment consultants come in.
To help shed some light on the topic of property investment consultants we will first define what they actually are and what they do. We will then look into the reasons for hiring a professional consultant to help with your property investment choices and how to figure out whether it is time to find an agency. We will walk you through a few points to consider when choosing your property investment consultant and look at the benefits of working with an expert.
Often, property investment consultants are confused with a real estate broker or an agency that will help you go through the purchase or selling phases of a property. However, this is nowhere near the actual reality when it comes to the world of property consultants. Property investment consultants bring experience and know-how to the business table and are the people to go to for everything, from start to finish, during the full process of investing. You can look at them in a similar way to a family consultant, who is always there to help you when in need.
In most scenarios, property investment consultants are there to stay. The relationship between an investor and a property investment consultant is, in most cases, a long and lasting one, based on mutual trust and understanding. These experts will have a solid background behind their backs, with substantial experience and education that has equipped them with the knowledge of operating in the real estate market. They will have well-developed business flair and will be able to easily spot opportunities in the industry and help you in making the right decisions regarding your investment. Now that we have a basic understanding about what an actual property investment consultant is, let’s look at what they can do for you as an investor.
In basic terms, property investment consultants help you curate new streams of income for you as an individual or a business entity by investing in real estate the right way, with the right financial returns. Your experienced property investment consultant will assist you with everything you need throughout the whole process, from making a decision on where to invest, all the way to the actual signing of a sale agreement that gives you ownership over your chosen property.
Before starting, a professional property consultant will get to know you and your investment desires. What is it that you are looking for? Will you be purchasing an apartment with the aim of making revenue from renting it out or will you be purchasing one in order to renovate it and sell it for a higher price? Is property development something you have in mind? For example, there are many cases in which the buyer purchases a small property but turns it into a multi-apartment building or expands it in a way, in which it has the capacity to host more families or businesses, significantly enlarging the opportunity for profit making.
Sitting down with you at the first talks, your property investment consultant will analyse your business desires and review your financial objectives. After collecting all the necessary information, they will help you draft out a short-term and long-term strategy that will get you to the point of achieving your financial goal, by adding your budget and timeline for specific steps to take on the way.
Often, consultants will suggest that a long-term vision is adapted in order to make a stable plan that will get you significant financial returns for years and not just a one-off profit.
Property experts will know exactly what is out there on the market, how much it costs and whether it is worth the investment. Having this in mind, property investment consultants can provide the knowledge behind selecting the right property to invest in. Personalized to your needs, the consulting professional will offer a list of available properties based on your requirements and will go through each one with you in detail, pointing out the benefits and disadvantages of each one.
The process of property selection is not as easy as it sounds. The decision should not only be made based on the current price of the property but a long-term analysis should be carried out to establish how much the property is likely to be worth over the next couple of years. Your consultant will have the skill of calculating how your property will move through time, based on factors such as location, previous history of price alterations, age of the property, nearby institutions, and future city projects, and many more.
The main idea behind property investment is finding a precious property that has not yet become popular, trendy and therefore pricey and being the first to invest in it before it booms. After analysing the external environment surrounding the property, your consultant will move towards reviewing the condition of the property itself, evaluate how much a potential makeover would cost and whether this would fit in with your budget and future goals. In short, they will go out of their way to make sure your investment goes according to plan and you only make a profit at the end, with no useless expenditures and losses along the way.
In some cases, investors decide to enter the world or property investment without much capital to start with. This is where external financing comes in. Your property investment consultant can help you get in touch with the right bank or other financial institution to help you receive financial support at the best possible rates and conditions, minimizing the risk of loss-making. They will be there to offer support in understanding the lengthy documentation behind receiving credit or financial back-up from external parties and make sure that no mistakes are made.
It can be quite burdensome to handle the legal sides of doing business with banks when it comes to investing and a professional consultant will offer their expertise to help you gain insight on the matter.
In situations where the investor is jumping in the world of real estate investing solo, with a solid financial backup acquired independently, consultants can help make out a budget plan and segment the investment capital into different properties to make the highest possible returns through time.
After providing full support through the process of making out a long-term plan, selecting the right property and financing it in the best possible way, it is time to sing the contract and finalize the deal. This is the most exciting part for investors as it means the heavy and burdensome part of the process is over and they are already at the finish line. However, this is where the chance of making mistakes is high. Avoiding carefully reading and comprehending sales contracts can lead to undesired outcomes and sometimes fatal mistakes that cannot be undone.
Before putting your signature on a contract it is worth asking your property investment consultant to thoroughly analyse every part of it and make sure that all conditions meet your requirements.
As we mentioned earlier, property investment consultants are often a long-term friend and your work with them doesn’t finish after the point of sale, especially if you are a serious investor looking to grow in financial wealth. If you have decided to go all in with your consultant, the agency may offer regular check-ups and reviews of your current property, make suggestions for new investments and update you with recent market trends and available opportunities. This certainly saves the time of spending hours every day checking up on relevant news and following the ever-changing market of real estate around the world.
You can rely on your property consultant to build and even manage a portfolio of properties for you and maximize your profits. If you are more optimistic and adventurous towards property investment, they may even help you take your portfolio abroad and invest in other countries.
To sum up, there are numerous benefits to hiring a professional property investment consultant to guide you through the process of real estate investing. Some of the main benefits include:
Selecting the right property investment consultant for you is not an easy task. When researching for agencies with the mentioned property investment services it is worth looking for customer reviews or feedback from other investors who have used their expertise to check their legitimacy. Look for case studies where the agency has shown the success of previous projects they have worked on. When having the initial discussion with a potential consultant, ask for their educational background and experience to check if they are someone who you can rely on for valuable information. It is also a good idea to quickly test your potential consultant by asking questions related to the market or specific property. Of course, it’s a good idea to enter a talk well prepared in order to get the most out of your analysis.
Property investment provides endless opportunities for investors and is a valuable and fun world to enter. However, the details and complex nature of the real estate market can be hard to cope with alone. If you are an investor looking to maximize profit and create a new stream of wealth for you and your family, arm yourself with a professional property investment consultant that will be your light throughout the full process of property investing.
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