Considering a revenue property as your next investment? Ensuring you are well prepared before shopping for the perfect property to add to your portfolio can help ensure that when that great deal comes along, you can move on it quickly and be the one to secure it before any one else does. Important steps to take before your purchase;

1. How much can you afford? The first step when considering a rental property is to talk to your Mortgage Broker about how much you can qualify for. This will determine the price range you can be looking in, and allow me to narrow our search down to properties that are feasible. There is no sense looking at and considering properties that a financial institution simply will not lend you money for. If you are not currently working with a Mortgage Broker, I can refer you to several seasoned individuals who can educate you on interest rates, types of mortgages available, and down payment requirements.

2. Assess your temperament, time to invest and your abilities before making the commitment to being a landlord. Educate yourself on how you will be managing repairs, selecting tenants, setting rents, etc. Are you looking for a fixer upper or a newer property that is in move in condition? Do you want to own the property for years to come or are you looking to quickly turn around a "handy man special"? This will help narrow properties down to those that interest you the most, without wasting your valuable time viewing properties that are just not for you.

3. Understand the role of a revenue property in your financial plan. Cash flow is an important factor in selecting a real estate investment, but there are other benefits to owning real estate as an investment that can impact your selection of properties. Talk to your Accountant to gain a full understanding of how a revenue property will fit in to your income and expenses, and what tax benefits you may benefit from.

When you have covered these bases and are ready to choose your first revenue property, I can help you find a property that fits your needs As a landlord and revenue property owner myself, I can advise you on how to best deal with many of the most commonly encountered issues, and point you in the direction of other great resources.

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