Conquer acquisition costs📈
Know your legal and bank fees⚖️💰
Ready to dive back into our recent discussion on acquisition costs? Today’s topic is a crucial one: Legal and bank fees⚖️💰 As we delve deeper into the intricacies of property investment, understanding these fees becomes paramount. They represent a fundamental part of your upfront investment, and being well-informed about them can truly shape your decision-making process. Remember, your legal costs and the bank’s establishment fee for the loan can vary depending on your bank and solicitor. By staying informed about these costs, I’m arming you with the knowledge and insights needed to navigate the property market confidently.
Crucial cornerstone🚧 Construction buffer and costs unveiled 🚧
Next we’re shining a light on a pivotal aspect of property financing that’s often overlooked: 🚧Construction buffer and costs.🚧 When building a house you need to consider a construction buffer to pay for all the costs during construction. These would include council rates, water and electricity supply to the block for the builders and interest on your loan. These costs will not be payable up front but instead, incur over the duration of the construction period. On average, a build takes about six months, so you would pay each of these costs monthly during the six-month construction period. We’ll talk more about these costs in upcoming blogs about, Calculating holding costs. The costs of the actual construction will need to be cash-flowed without the help of a rental income during the process of construction. Understanding these costs is crucial as you prepare and budget to start investing in property. From council rates to loan interests, each element contributes to the financial landscape of your investments.
🔍Inspect to invest: Building and pest inspection costs🐜
Are you ready to delve into our next topic on the journey of property investment? Let’s turn the spotlight onto building and pest inspection costs.🐜🔍Once construction is complete, your next step is crucial: conducting two building inspections. These inspections are essential to ensure your satisfaction with the building. But here’s the catch: the costs for these inspections can vary depending on the service provider.
That’s why it’s crucial to be well-informed about what to expect and how to navigate this aspect of your investment journey.
Stay tuned as I uncover more insights on costs to advertise your rental, empowering you to make informed decisions and safeguard your investment.
Let’s continue navigating this path to property investment success together!
~Daimien Patterson