First Time Property Investors
First Time Property Investor
For first time property investors, just the idea of financial and time commitment can seem incredibly daunting.
You feel like you should be investing — but the how, where, and when seem to be a mystery hidden from you, the novice. Fear of the unknown, market complexities, and the sheer amount of information are paralysing.
At Property Portfolio Solutions, we smash down those barriers. We’ve helped hundreds of first time investors take their first steps towards building a profitable portfolio and achieve their dreams. We’ll guide you through the entire process, explaining everything in plain language and ensuring you feel confident and empowered.
Why Buy Your First Property Investment?
Taking the leap and buying your first real estate investment can be tough. Why not simply keep your cash in the bank and earn some interest, invest in some stocks and shares, or gamble it all on a trip to Vegas?
Sure, there are plenty of ways to try and grow your money. But when it comes to building long-term wealth and achieving your life goals — property investment offers some unique advantages:
Build Wealth Over Time
Historically, property has been a reliable way to grow wealth over the long term. As the values appreciate, you build equity and increase your net worth. Becoming a first time real estate investor sooner rather than later allows you to benefit from long-term capital gains.
Get Passive Income
Rental income from your first time investment can give you a steady stream of cash, help you cover maintenance expenses, meet lending repayments, and let you achieve financial freedom.
Assets You Can Touch and Feel
Defend Against Inflation
For you, the first time investor, property can shield you against price rises. Since usually, property growth matches or beats inflation, your wealth is protected from being reduced as the years pass.
All Your Eggs Aren’t in One Basket
Even if you own stocks, shares, or other assets — becoming a property investor and first time buyer can diversify your portfolio. This spreads your risk, adds another level of security to your wealth, and increases the chances of meeting your financial goals.
Borrow to Grow
You can use borrowed money (leveraging) to buy something that’s worth way more than what you personally put in. This means you can potentially own and profit from a valuable asset, and borrow more as its value grows, even if you don’t have an inexhaustible supply of cash to start with.
Build a Mighty Legacy
You may be a first time investor in real estate, but your initial purchase can be a stepping stone to more. A well-planned and managed portfolio can grow in value, deliver regular passive income, and create a legacy for your loved ones.
The Fear of Investing in Property
Considering the above benefits, why isn’t everyone buying their first investment property?
Typically, it’s because of that daunting first step — fear of the unknown holds you back from even the most attractive of opportunities.
Admittedly, sometimes people try to get the ball rolling with their first time investing in real estate by attending costly seminars, studying piles of books, or reading hundreds of property websites. But this can lead to information overload, paralysing and disillusioning the once eager first time investment property buyer.
The fears experienced by novice developers include:
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Fear of making a mistake.
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Fear of rising interest rates.
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Fear of being conned by builders/developers.
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Fear of being scammed by alleged property gurus.
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Fear of self-doubt.
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Fear of not doing as well as others.
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Fear of having too much to learn.
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Fear of not having enough money to buy property.
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Fear of choosing the wrong property.
At Property Portfolio Solutions, we understand these fears — we’ve been there ourselves. That’s why we’re committed to providing you with the knowledge, support, and guidance you need to overcome them and achieve your property investment goals.
Conquering Fear With the Best Property Investing Advice
Here’s how we empower you, the first time property investor, to smash through the fear barrier:
Knowledge is power — we take away the mysteries of the property market, explaining everything in plain English, so you can make educated choices.
Strategic planning — we help you develop a solid investment strategy and give property investment tips that minimise risks and maximise your chances of success.
Market knowledge — we keep you informed about market trends and opportunities.
Interest rate education — we show you why you shouldn’t get hung up on rising interest rates, helping you find properties where the rent covers repayments, and the potential gains far outweigh the interest costs.
Finding the right fit — we help you identify properties that align with your goals and budget, so you can invest with confidence.
Trusted contractors — we work with our team of established and reputable builders and professionals, ensuring quality and reliability.
Simplified process — from property sourcing to sale, we handle the entire process.
Financial clarity — we help you assess your budget, explore financing options, and create a sustainable investment plan.
Objective advice — we show you how to separate your emotional property attachments from sound investment decisions.
Five Common Mistakes When Buying Your
First Investment Property
We’ve all been there — starting something new and making a few blunders and errors along the way. Buying your first investment property is no different! Here are five common mistakes made by the novice investor:
Diving in with no plan
It’s easy to excitedly jump in head first, caught up in the buzz of buying property. But this is the easiest way to fail. PPS helps you build a personal strategy that aligns with your goals.
Forgetting that location is crucial
A wonderful building in an awful location is the path to disaster. We help you identify areas with strong growth potential and rental demand
Underestimating expenses
When developing, there are more than just the property costs. We factor in everything so you have a clear picture before proceeding.
Overlooking due diligence
Do your homework! With professional help, we take you through researching the property through property inspections, market analysis, and title searches.
Trying to do it alone
Newbies need tips for buying investment property. We support and guide you at every stage.
How Much Do You Need To Start Property Investment?
The question of how to pay for an investment property — and whether you can actually afford it — is something that can quickly discourage the first-time investor. The truth is, there’s no one-size-fits-all answer:
Here’s why it’s a tough question:
The property you want to buy — depending on the property type, size, and location depends on how much cash you need.
Development costs — is it a vacant lot requiring a new build, splitting an existing property into a duplex, or a demolition and rebuild?
Expenses — there aren’t just the deposit and purchase costs, but also additional expenses like legal fees.
Your situation — your income, assets, savings, credit history, and borrowing capacity all affect how much dollar you need.
Your goals — is your ultimate dream to live in luxury on a yacht, or simply hold a few properties to fund a comfortable retirement?
At PPS, we give the best first time property investors advice when it comes to costs and financing. Here’s how we help you:
Crunching the numbers — in our ‘why’ meeting, we help you calculate how much you can afford to invest, taking into account your current assets and future goals.
Give it to you straight — if we don’t think you currently have the money or assets to invest, we’ll say so! But, we will explain how much you will need to get started at a later date.
Identify suitable properties — we help you find properties that match your budget and offer powerful growth potential.
Source financing opportunities — we have a network of trusted brokers who understand the nuances of property investment, unlike traditional banks.
Take no money from you — all our income comes from our builder partners.
How To Become a Real Estate Investor
Property can be a fantastic way to build wealth and secure your financial future, but it does take a bit of know-how. Here’s our short guide to explain the essentials:
Understand the basics — discover the different types of properties, how established properties can be split or developed, and how they can generate income or growth.
Set defined goals — decide what you want your investment to do for you, and where you want it to lead in the long term.
Research the market — identify money-making opportunities by looking at location, trends, and demand.
Sort your finances — figure out your budget, including down payment, mortgage, and ongoing expenses.
Manage risks — spread your investments, do your homework, and have a backup plan for unexpected costs.
Choose the right property — find properties that match your goals, offer good returns, and are in desirable locations.
Manage your investment — keep your property in good condition, screen tenants carefully, and collect rent on time.
Monitor property performance — track your income and expenses, and adjust your strategy as needed, which may include selling.
Think long-term — be patient and persistent, and focus on the bigger picture.
A little overwhelmed by everything you have to do? We understand — it can be like navigating a maze for the novice investor. But you don’t have to do it alone. PPS takes the stress out of property investment — guiding you through every step, handling the difficulties, and helping you make educated decisions.
How Property Investment Works With Property Portfolio Solutions
PPS is different. We don’t hook in the first time property investor in Australia with talk of unrealistic returns, get you to spend money on expensive courses or seminars, or disappear once you’ve signed on the dotted line to buy your investment.
Our proven, long-term support strategy has helped hundreds of property beginners confidently take the first steps on their investment journey and succeed with healthy growth and passive income returns.
How to start property investment with Property Portfolio Solutions:
Together we look at your current circumstances — your liabilities, assets, income, and borrowing capacity.
Examine your goal — give us a picture of where you want your investment to take you — whether that’s sipping cocktails on a boat, or leaving a portfolio legacy for your kids.
Turn your vision into a number — once we know the figure, we can start on our strategy.
Create an actionable plan — we give you the best investment property advice, create a strategy, take care of all the hands-on work, and start to make you money!
Help you become an experienced investor — many of our clients started as first-timers, and are now seasoned investors!
Property Investment Explained, Strategised, and Delivered
You now know about the benefits of property investment and how to face your fears head-on. Now, take action! But with so much information swirling around your head, it’s easy to feel overwhelmed.
Property Portfolio Solutions has got your back. Expertly, we’ll guide you through every step of your property investment journey, from defining your goals to building a profitable portfolio. We cut through the trade speak, simplify the process, and allow you to achieve your ultimate dream.
We Commit to…
Uncover your WHY — your goals and motivations for first-time property investment.
Take care of everything — from sourcing properties to managing contractors, handling issues to creating investment structures such as an SMSF.
Calm your fears — through our knowledge, experience, and professionalism.
Craft a personalised strategy — a powerful plan taking you from where you are now to where you want to be.
Cut through the noise — removing the mysteries behind first-time property investment.
Ask for no money — all our income comes from our builder partners.
Make your dreams reality — whether financial freedom, a yacht, or early retirement.
Build a lasting partnership — we’re in this together, every step of the way!
How To Start Investing in Property FAQs
What Is a Property Investor?
A property investor is someone who buys property to generate money — either through income (yield) such as rent, or by selling it later at a higher price (uplift).
As a First Time Property Investor in Australia Should I Buy Commercial or Residential?
The answer depends on your goals, the property location, the demand for the building type, and the level of risk you’re comfortable with.
Residential properties (like houses and duplexes) are generally easier to understand and manage. In contrast, commercial properties (such as offices and shops) are more complex but can offer longer-term and higher returns.
Tips for First Time Property Investors?
Our first time property investor tips include:
- Do your research.
- Set your goals.
- Sort out your finances.
- Manage your risks.
- Choose the right property.
- Manage your investment.
- Monitor your investment’s performance.
- Think long-term.
- Get expert advice — speak to Property Portfolio Solutions for investment property tips in Australia.
Things To Consider When Buying an Investment Property?
Our top considerations when looking at investing in rental property for beginners are:
- Location — is the property in a good area with potential for growth?
- Property condition — does the building need a lot of work?
- Rental income — how much money will you receive regularly?
- Your finances — can you afford the deposit, finance, and ongoing expenses?
How To Invest in Property?
As a first-time investor, your first step should be to speak to experts. Property Portfolio Solutions can help you identify your goals, and create a tailored strategy that offers both returns and security.