Currently, there are many types of investments that can be selected, ranging from gold, stocks, items such as branded bags, luxury watches or house. When compared to other types of investment, property investment is considered more comfortable and profitable.
One type of property that is often used as an investment by residents is a house. This type of property can be resold or rented out so that investors can find a profit.
But buying a new home as an investment step in the property sector can be problematic if it’s not done carefully and carefully. Moreover, the price of a new house cannot be said to be cheap, so you need to spend more to invest in a new house.
So, if you are planning to buy a new home as an investment, you need to identify and analyze all aspects related to buying a new home clearly and in detail. In order for the new home investment to be profitable, you should pay attention to the 7 new home investment guidelines for you to follow below:
1. Pay attention to the position of the house
A very important and decisive initial guide is to pay attention to the position of the house or building. Position is the main key in the success of a new home investment. As we know, new houses that are located in strategic positions are usually priced at high selling prices so that they will be profitable if they are resold.
In addition to large resale prices, strategically located new homes, such as homes in South Jakarta or Central Jakarta, will also be surrounded by supporting facilities and infrastructure. In addition to easy access, you will usually find a variety of important facilities near housing, such as shopping centers, offices, hospitals, banking and others.
If you plan to make the new house a boarding house or rental house, then you can look for a new house that is close to the university and target the student population.
You can also look for new homes that are close to office centers if you target prospective tenants from office workers. Or if you want to open a small business near a residential area, choose a house that is located on the side of the road so that it is easier for consumers to reach it.
Don’t forget to do a direct survey of house positions, then pay attention to the attractiveness of the position that will make you earn more money.
2. Pay attention to security aspects in the area near the house
Apart from paying attention to the position of the house, the security aspect is also a very important thing to consider. You definitely don’t want to buy a new house in an area where theft, robbery, or in a position prone to crime is common. If the area is known to be prone to crime, the price of your property will fall when it is resold, you know.
You can choose to buy a new house that is located in a complex area. Houses located in complex areas generally have a greater level of security, because the main entrance gate is protected by security guards 24 hours a day.
Or if it’s not located in a complex area that has security guards, you can choose a new house that is located in a relatively comfortable area and the residents want to take the initiative to take turns holding patrols. Thus, the house will be free from possible crime.
3. Check the condition and eligibility of the house
After paying attention to the position and security aspects of the house, the next tip is to check the condition and feasibility of the house.
So before deciding to buy a new home for investment, it’s a good idea to check the condition of the new home. Make sure there are no parts that are inappropriate or in a condition that is prone to damage. Especially if you plan to resell the house, you have to make sure that the new house is in good condition, because no buyer wants to buy a house for sale in a damaged condition, right?
What you have to know when checking the condition is the age of the building, drainage, gas roads, and water conditions. In old housing, buildings that have been standing and have not been touched by buyers for a long time need extra attention from you. An unmaintained house of this kind may require revision again.
4. Check Land and Building Legality
Don’t rush into buying a new house if you haven’t checked the legality of the land and the building. Even though the new house is priced at a low price, abundant bonuses and sweet promises from the seller, don’t be hasty in buying it before checking the completeness of the paperwork. This is very important to avoid disputes in the future.
And if on that day a land dispute arises, you already have solid evidence reporting that the land and the new house building legally and legally belong to you. Thus, the parties to the dispute will not be able to contest the new house that you have bought.
5. Pay attention to the House Payment Procedures
In general, there are 2 methods for paying for a new home, namely the cash method and the installment or installment method. You can choose a procedure that suits your financial situation. If you already have sufficient funds, then the cash payment method can be an option, because usually new houses are cheaper if purchased in cash.
But if your financial situation is limited, then the installment method is the best solution. Calculate in advance the percentage of down payment that must be paid, the interest rate, the installment period and late payment penalties. After that, consider the circumstances or your skills to pay for it.
This means that it is calculated carefully, so that you don’t choose the wrong installment for a new home. Because if the installments stop in the 2nd or 3rd year and so on, then inevitably the new house that you have paid for can be withdrawn by the developer in question.
6. Pay attention to Capital Availability
Prepare enough capital to start investing in a new home. Capital problems can be quickly solved if you already have a large supply of funds. But if you don’t have enough capital, then you can apply for loans through banks, cooperatives, or through fintech P2P lending.
It is important to pay attention to before applying for a loan, which is to calculate the range of the amount of capital needed and your ability to pay it. So that loans don’t erode your balance sheet, loans should be limited to a maximum of 40% of the financial expertise you have.
The point is not to apply for a loan that exceeds the skill limit. Because if you exceed the financial limit, it will make your balance sheet stagnate because you are in debt. Do you still remember the great proverb of pegs instead of poles?
7. Set Lifestyle
The final guide is controlling lifestyle. If you have intended to invest in a new house that requires quite a large amount of capital, of course you have to get used to this lifestyle every day. You can do this by saving expenses on secondary needs, such as entertainment needs by reducing snacks or eating at restaurants so that expenses don’t increase.
You can also look for side jobs to earn bonus income. That way the income you have can be much greater, so that the allocation for new home installments can be bigger and paid off more quickly. So, organize and manage your finances well, so that the income you have can smoothen your intention to invest in a new home.