After we have been on the property investment for many years, there are criteria we try to look for when purchasing properties. The decision of looking for the type of property can be different depending on the purchase is for long-term investment or for homeowner use.

For long-term investment, the property must be tenantable with positive cash flow in order to generate monthly income. When looking for investment properties, it shouldn’t be personal. As it is not for the investor to live there but only for investment purposes, there is no reason to fit the investor’s living style when purchasing the investment properties. That means you simply don’t want a lot of problems on your investment properties which give you troubles all the time but you want them to be easy to maintain in the long-run so you can grow your property portfolio smoothly. Even though you may have a property management agency to help you manage your portfolio, when things go badly wrong, you will still be the one to approve the works. Based on these reasons, it will be easier to maintain purpose-built flats/apartments instead of houses. The newly built properties always have fewer issues than the old ones.

For home use, the property must be suitable for the lifestyle of the property owner. The area and the vibe should be matching to the style of the property owner. If the property will be occupied by a family with children, more bedrooms might be required. If the space of the property is allocated on multiple floors, it will even be better for the family with children. However, the layout should be practical to avoid having a separate bedroom on each floor and having a bathroom next to the kitchen. In general, the size is normally optimised and the layout is very sensible for the newly built modern properties comparing to the converted Victorian terraces.

The schools should be available in the local area. The playground and shopping centre should also be accessible but not at the back of the property. It will be a bonus to be able to access multiple transportations.

Once these main criteria are validated, there are other criteria which property investors look for the answers. They ask these questions below:

Is the property facing South or West of the Sun to get more sunlight in the property during the day?

Does it come with any parking? For the properties in the cities with limited space, is there any other storage?

Is there any outside space such as roof terrace or external access to keep my tenant happy so he/she will stay longer in my flat?

Does it contain a good size double bedroom (preferably at least 100 sq ft)?

Does it come with En-suite separate bathroom and toilet for the family?

Is the area safe and well lit so my tenant can go home in the dark?

Are the property light and airy to keep my tenant happy?

How about the view when looking out of the windows?

Is there any hazard on the property to keep my tenant unsafe?

Although it might not be possible to find a property that has all these criteria achieved the best way it should be. If you can find one that matches as much as these criteria, you can be sure that you are in business.