When it comes to investing in real estate, timing is very important. Choosing the right time to enter the market will play a big role in the long term success of your investment. As an investor, knowing if the timing is right for you, can be difficult. Here are 6 questions to ask yourself before you move forward.
1. Am I financially ready? Have I saved enough for the down payment and have I also set aside an emergency fund? Have I taken into account maintenance expenses? Is my credit history in good shape and can I meet all the financial obligations?
2. Have I set my long term goals? Do I have a clear picture in my mind of the purpose of my investment and can I be flexible enough to adjust to changing circumstances?
3. Did I do my research? Do I know the neighbourhood of my future property well enough to foresee the coming trends and the possible changes in the community.
4. Have I have chosen a stable economy? Is the area financially stable? Are the economic trends promising?
5. Are infrastructure projects underway that will likely lead to an increase in property values? Is the infrastructure of the area being developed such as: transport, energy, solid waste and water management developments?
6. Have I found the right Realtor? Is my Realtor trustworthy and do they know the local market well enough to be able to help me make the right choice? Does my Realtor truly understand my real estate goals?