Choosing the right investment in Cayman Islands property
There are three things I look at when choosing an investment the potential for long-term growth, the tenant is “attractive”, and the cost of ownership.
Long-term growth potential
Most investors are taught that the cheaper the property, the better. This is only partially correct. His main focus all the properties of long-term lease should be valued, or the amount of property over time will increase. The appreciation is more important than the purchase price. The amount of property increases over time should clearly acquired more than one benefit from the purchase. As the evaluation is more important than the purchase price, there is great potential for real estate held as financial investments in all markets. So, all together in one short sentence, never buy an investment property without having to appreciate a lot.
Tenant “attractiveness”
The type of house you buy in order to gain a certain type of tenant. Luxury properties attract quality tenant and vice versa. It seems that common sense, but it is an absolute necessity in the search for suitable property. They want properties for prospective tenants who have financial problems or appear desperate appeal to avoid. Investing in real estate that fit your budget, but also attract the best tenants.
Cost of Ownership
There is always a cost of ownership. Like anything you buy your to resist wear and tear over time. The task before us is no big impact on how much wear is on your property. Choosing the right tenant, for example, have an influence on wear. The interior of the house and the amount of your cost of ownership will be affected. For narrow, narrow design will suffer more damage than open designs, for example. Tenants with children tend to carry more than those without property cause. In addition, more care than flat paints gloss or semi-gloss. Many things in the interior and exterior of the house have a predictable life. Do your homework and calculate these things in advance and it will save ten times in the back.
Understanding the growth potential in the long term cost of ownership and the tenants ‘appeal’ have great influence on the success of the portfolio of rental. These three factors must carefully before you invest should be considered in a property.
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