Must-Know Tips for Building an Investment Property

by Carlisle Homes

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Investing in the property market can be a smart financial move, but it pays to do your research before you dive in – here’s what you need to know.

If you’ve been wondering how to build an investment property, you’ve come to the right place. From budgeting and location, to market demand and choosing the right builder, here are some practical tips for building your property investment portfolio from the ground up, while avoiding some of the most common rookie mistakes.

Is it better to build or buy an investment property?

There are pros and cons to each approach.

Building an investment property from scratch allows you to tailor the design, layout, and features to suit your target market. You can also design the property with energy-efficient features, which will attract environmentally conscious tenants and potentially reduce ongoing costs.

Be aware, however, that the building process is more time-consuming, and includes various stages, such as design, permits, and construction.

As for the advantages of buying an existing property; you can potentially generate immediate rental income in a neighbourhood that is already established, plus it’s less time and trouble than constructing a new home.

On the downside, an older property may require costly renovations, it’s harder and more expensive to make energy-efficient upgrades, and there are only so many changes you can make to the design and layout without blowing a limited budget. 

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Carlisle Homes are the build-to-invest experts, with a vast range of quality, low-maintenance home designs to choose from, all of which come with an impressive 25-year structural guarantee.

Building an investment property with Carlisle Homes

Whether you’re a first-time investor or you’re growing your property portfolio, Carlisle is your perfect build-to-invest partner. We offer a wide range of property investment opportunities, including new homes, knockdown-rebuilds, house & land packages, build a new home on your existing block, and display homes for sale.

You’ll benefit from our hugely popular, contemporary designs, fixed pricing, energy-efficient appliances and design features, and quality assurance program, which includes a comprehensive 100-point Warranty Inspection.

With Carlisle, the building process is straightforward and transparent. You’ll receive more standard inclusions than with any other builder, and there are no surprises along the way. What you pick is what you’ll get.

We can also provide expert property investment advice, and have in-house construction finance specialists available.

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Our in-house investment specialists and dedicated financing team will help you choose the right home design, and find a great loan to service your new investment property.

Will my investment loan be different to a standard home loan?

It might be. If you’re borrowing for an investment property, rather than a home you plan to live in, some lenders may charge a higher interest rate because they see the risk being greater. But not always! That’s why it pays to explore all your options, and research loan providers.

Speak to one of Carlisle’s investment property loan specialists to learn more.

How to build a property investment plan

Investing in the property market can be lucrative, but you need more than just luck to succeed.

A solid property investment plan requires you to clarify your investment goals, set a realistic budget, research the market to understand the preferences of your target tenants, secure financing, and calculate potential returns.

You’ll also need to engage professionals, such as experienced builders, real estate agents, financial advisors, and legal experts, to help develop and manage your investment plan.

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Achieve premium rental returns by choosing a home that’s packed with attractive features, such as the Illawarra Grand Deluxe 45 with its gourmet kitchen, generous storage, quality materials, and timeless, neutral colour palette.

How to design your property for maximum appeal

A practical, free-flowing layout, modern amenities, and energy-efficient features are all essential if you’re looking to achieve top rental returns from your investment property.

Here are some key design moves to make if you’re looking to maximise your return and attract quality tenants:

Go open plan

An open layout will create a natural sense of flow between the kitchen, dining and meals area, allowing occupants to feel connected, while at the same time making your property feel bigger.

Include a quality kitchen

The kitchen is the heart of the home, and it’s often the main feature tenants focus on when viewing a rental property. So, it pays to invest in a well-designed and functional cooking space, with quality appliances, ample storage, good ventilation, and plenty of bench space.

Make it energy smart

Look to incorporate sustainable and energy-efficient elements, such as energy-saving appliances, LED lighting, good insulation, and solar heating, in order to reduce the property’s running costs, and appeal to environmentally conscious tenants.

Choose timeless colours & finishes

Future-proof your investment by selecting durable, easy-to-maintain design materials that won’t quickly date, such as classic timber joinery and stone benchtops.

As for wall colour, soft, neutral tones such as white, pale grey or soft beige will appeal to a broad range of tenant preferences, while providing a simple backdrop for occupants to personalise the space with furnishings and art.

Include efficient storage

Incorporate smart storage solutions that make it easy for occupants to keep the property clutter-free, such as built-in shelves in the living areas and study, under-stair storage, and generous storage cabinetry in the kitchen and bathrooms.

Don’t forget curb appeal

Make a good first impression with an attractive facade, well-maintained landscaping, and an open and inviting entrance.

If you’re building as an investment, make life easy by choosing Carlisle Homes. We’re committed to giving you better in every way, from better floorplans and better inclusions to the best property-investment advice, so you can build your portfolio with confidence.

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