Our checklists ensure that we select growing areas even during non boom periods. This is the 10 point check list used by a Sydney investor with 900 investment properties.
- Only areas experiencing strong population increase.
- Only land locked locations i.e. short land supply and nowhere left to expand to.
- Vacancy Rate 3% or less. That really is close to full occupancy.
- Only areas 90% owner occupiers. Even normal healthy balanced suburbs are 70% owner occupier ( that’s 30% investment properties). We like it better than that so that only 10% of the area is investment. These areas sustain better in the long term.
- Cheaper than surrounding areas. In other words there should be more expensive areas nearby where we have some likely catching up to do.
- No recent significant capital gain. We don’t want to buy just after an area has tripled in value. Even at the end of boom periods, there are always pockets or niches that haven’t yet had their full run.
- Percentage rental return (compared to other areas)
I can’t say it any more lightly than to say if you are ever thinking of buying an investment property that doesn’t fit EVERY small aspect of this list, it’s better to go to the races. You HAVE to do it right to get progress we experience.
Of course there are many other criteria in the property selection not mentioned here. Canterbury clients come to understand we have a lot of unique intellectual property.
Canterbury clients are made to feel safe and secure all along the way. People’s circumstances can change without notice. That’s why we provide a safety net. Because of the confidence the checklists instil, Canterbury are able to provide clients with a guarantee to resell their property for at least what they paid. Also, Canterbury will pay for lost rent on the properties. Copies and specifics of this guarantee are available on request, and the guarantee is further individualised to each client.