Growth of property investment value is sometimes regarded as being beyond the investors control and largely a factor of inflation and market forces. I challenge all property investors to think differently about this issue and to consider the influence that they can have in accelerating the growth of their own investments.
Step 1 – Boosting Rental Yield
From an investors perspective, the higher the rental yield, the higher the property value, therefore it makes sense to look at what can be done to increase the rental yield of your investment in a bid to boost growth. Determine what tenants are looking for in your area and ensure you are providing it. This does not always result in high levels of expenditure to deliver a desirable property and is well worth careful investigation and consideration.
Step 2 – Creating Something From Nothing
Properties with 4 bedrooms are typically worth more than those with 3, the same rule applies bathrooms. Look to how your property can be renovated within the existing footprint of the building, to provide additional amenity to boost both rental yield and property value.
Step 3 – Extend / Subdivide / Double Up
If you find yourself in the enviable position of owning an investment that has any degree of undeveloped land, you are in luck. Extending existing property, subdividing land and selling off adding an additional dwelling, even in the form of a granny flat are all excellent strategies, in accelerating property investment growth, when managed carefully.
The difficulty for investors is in assessing their individual property and circumstances and determining the best way forward. Seek advice, and do your research as no two situations are exactly alike and a ‘one-size-fits-all’ approach is not appropriate.
Rest assured that with careful assessment, planning and execution, you too can move ahead of the ‘wait for growth’ pack and proactively and successfully accelerate your property investment growth.
Jo Powell is Director & Stylist at 3 Pea’s Property Styling. A CPA qualified accountant, Jo combines her creativity with her extensive experience in property development / renovation and understanding of the real estate market to advise and assist clients in preparing and presenting their homes for sale. As specialists assisting vendors to prepare property for sale, 3 Pea’s Property Styling leads buyers to see the possibilities.