Tuesday, April 6, 2010

Defensive Property Strategies

Being able to scout out good property deals and purchase them is definitely a talent. But don’t forget to cover your bases with a good defensive strategy as well.

This is what I mean by defensive property strategies—making sure that you never have to sell your property regardless of market conditions and your personal situation.

What this does is puts you into the advantageous situation of being able to hold a property for the long term. As properties always go up over the long term, you are then taking out insurance against any loses.

So what can you do to boost your defenses? Here are 3 tips:
* Be willing to be disciplined in your expenditures over the long term. Follow strict financial rules.
* Select investment properties that have proven track records of increasing in value over long periods of time. It is not necessary to have extraordinary growth in the short term. Focus on the long term.
* Manage your own budget so you have sufficient funds to cover any necessary property expenses and to avoid lenders recalling their loans during bad times.

The good thing about a good defensive strategy is that it will put you in good stead to take advantage of the opportunities that arise during the good times. The reason for this is that your property will rise in value and you will be in good financial condition.

If you have a question about real estate, or would like assistance in locating a property, feel free to phone me, Noel Thompson Principal Professionals Logan Lifestyles at either Browns Plains 3800 4000, Marsden 3200 4495, Springwood 3808 5544 or Waterford 3299 7733.

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