12 November 2019

“With the current strong population growth and government budgetary decisions stimulating the market, we expect a healthy future for this segment”, – she added.

Nevertheless, there are also certain risks when it comes to investing in real estate. It’s vital to know some strategies in order to reduce the possible risk. So, first of all, King says, you need to be aware of additional debt. Investors have to keep a close eye on their credit scores and make all the payments in time.

“Most investors will need a mortgage for buying a rental property. It may change their debt ratios, affecting their ability to receive the best mortgage conditions and rates. It’s recommended to consult an advisor before applying for new credit or renewing the existing one”.

In general, investors need to view their housing investments as a business. King says the main thing is positive cash flow, and not just the purchase price and the potential cost at the time of sale.