Why You Need an Experienced Investor, Not Just Any Professional
The only person you should trust to find and purchase an investment property is an active property investor, not a financial planner, accountant, or other professional who occasionally offers off-the-plan properties, often overpriced and primarily for their own commission. These professionals usually lack day-to-day market experience, which is critical when selecting a profitable investment property.
Tracey is not only a Senior Buyers Agent, but also an active property investor herself. This is her secret to successfully finding investment properties: learning from successful investors, observing proven strategies, and applying practical, real-world knowledge to every purchase.
What is the Most Important Advice for Buying an Investment Property?
When buying an investment property, follow your head, not your heart
- You will likely never live in this property.
- It will be tenanted, focus on generating income.
- If your goal is to retire in this property, wait until that stage of life before purchasing, buying too early often leads to regret and wasted opportunity.
Buying smart means prioritizing financial return, market trends, and long-term strategy over emotional attachment. Tracey helps you make these decisions with clarity, confidence, and experience.
ALWAYS REMEMBER: “If you buy a bargain, you will sell a bargain” Most so-called bargains are the worst properties in terms of long-term value and return.
What are the Common Mistakes Property Investors Make?
Many investors make avoidable errors when buying property. Here are the most common pitfalls:
Letting emotions guide the purchase – falling in love with decor and professional styling.
Buying with a retirement home in mind – planning to live there later instead of focusing on investment strategy.
Choosing the wrong type of property for the area – mismatched property type and local demand.
Buying in the wrong location – poor suburb or market choice can affect returns.
Purchasing off the plan with a high development premium – paying more than the property’s true market value.
Bank valuation issues – buying off the plan and finding the bank’s valuation doesn’t match at completion.
Rental competition risk – off-the-plan properties may be hard to rent if many investors settle simultaneously.
Overcrowded developments – buying in huge buildings with too many comparable apartments and high strata fees.
Expensive city apartments with low yields – attractive views and luxury finishes but poor cash flow and high holding costs.
Listening to unqualified advice – friends and family often have little understanding of the real estate market.
Not using a local expert Buyers Agent – someone who truly knows the market, area trends, and investment strategy is one of the biggest and most common mistakes property investors make, often costing time, money, and opportunity….
Buy an Investment Property Using Your Super/SMSF
Tracey has extensive experience with SMSFs (Self-Managed Super Funds) and even purchases properties through her own personal SMSF. With Tracey’s expertise, you can confidently use your super to invest in property the right way, avoiding costly mistakes and maximizing returns.
If you have an SMSF and want to build a property portfolio, Tracey can guide you through the process…
- Need an SMSF set up? Tracey can recommend her trusted accountant specialists who focus on SMSFs.
- Need to borrow through your SMSF? She can connect you with a select group of loan brokers who fully understand SMSF lending rules.
Investment Property Tips: Do Your Research Before Buying
Key Questions to Ask Before purchasing an investment property, it’s essential to ask the right questions to make informed, strategic decisions:
- What is my ultimate goal? – Why am I investing, and what outcomes do I want to achieve?
- Can I hold the property if interest rates rise? – Ensuring financial resilience is critical.
- Which property type should I buy? – Studio, 1, 2, or 3-bedroom apartment, or a house?
- What property type is best for each area? – Different suburbs suit different property types.
- Why not serviced apartments or student accommodation? – Understanding the risks and potential drawbacks.
- Which pockets within a location are good or bad? – Not all areas within a suburb perform equally.
- What is the recommended investment amount? – Budgeting wisely for purchase, holding costs, special levies, and potential renovations.
- Should I rent furnished or unfurnished? – Depending on tenant demand, area and returns.
- Who is the best Property Manager in the area? – Choosing someone reliable who maximizes rental income and maintains your property.
1–2 Investment Properties Are Not Enough to Build Long-Term Wealth
Owning just one or two properties is not enough to secure your financial future. To build lasting wealth, you need a portfolio, a collection of strategically selected investment properties. Over time, as you pay off mortgages on your investment homes, having a larger portfolio ensures you can:
- Pay off remaining debt
- Maintain at least four fully paid-off properties generating steady rental income for life
- Potentially expand beyond four properties depending on your lifestyle and financial goals
What’s Holding You Back from Investing in Property?
Many aspiring investors hesitate because they feel they lack experience, or they procrastinate by endlessly researching while opportunities pass them by.
The truth is, many residential property investors fail because they:
- Don’t do proper research or analysis
- Lack negotiation experience
- End up overpaying for underperforming properties
These common and costly mistakes can be avoided by working with Tracey. With her guidance, you can be confident your time, money, and effort are invested wisely, maximizing returns and securing your financial future.