Tips for Buying an Investment Property in Saskatchewan
If you’re looking to grow your finances, investing in Saskatchewan real estate is a solid way to do so and generate passive income! However, before you invest in real estate and make that big purchase, it’s helpful to know if you’re getting a good deal.
Investing in Regina or other areas of Saskatchewan real estate requires a big budget, so it would be wise to know what to look for.
Here are some tips to consider when buying an investment property in Saskatchewan, Canada:
1. Check out the schools in the area.
If your target demographic is families, it’s essential to search for good schools within the real estate property’s area as this is a priority for parents. The location of an investment property is critical when evaluating Saskatchewan real estate investment opportunities. Also, it’s a great feature to highlight when marketing!
It’ll also increase the value and price of your property since it’ll continue to attract students, as well as families raising children in your area. The more amenities presented in a given neighborhood, the more the demand and increase in real estate value.
2. Review crime statistics and safety measures.
No matter how cheap a Saskatchewan real estate property may be, no one will feel confident or comfortable settling down in a home that risks their security. People value their lives and belongings.
If the crime rate is too high in a given area, then you’ll have fewer prospective renters and more vacancies. Not to mention, if you end up wanting to sell your investment property in the future, buyers will negotiate to lower the price due to its unsafe surroundings. Worse, you’ll have difficulty finding interested buyers to begin with.
3. Assess neighborhood value.
The Saskatchewan real estate properties you’re investing in are not stand-alone. So you need to also check out the neighborhood, as well.
Consider the following before you invest:
Is it safe?
What amenities can be found in the area?
How close are you to the shops?
Is everything within walking distance?
How far away are you to the bus stop or transportation hub?
Is there any recreational facility or nearby parks around?
These are the types of questions you must consider to know if the property will grow in value over time. Remember that people don’t make their decision solely based on the house, but also on its environment.
4. Evaluate vacancy rates.
Check out the rental homes in the Saskatchewan area you’re eyeing. Is there a high rental demand, or are there frequent vacancies? If you turn your real estate investment into rental space, it’s not a good sign to see empty rental homes. It means there’s less demand and it will affect the performance of your rental business, too.
The success of your real estate investments will come from the consistent returns earned from long-term tenants. So, if turnovers are always high in most rental properties around your target area, then reevaluate your decision.
5. Conduct proper research.
Investing in a Saskatchewan property shouldn’t be an impulsive decision. It’s best to conduct a SWOT analysis. A SWOT analysis stands for Strengths, Weaknesses, Opportunities, and Threats. In doing so, you’ll gain more clarity on why a particular property is a good or bad buy.
When researching, you should note the surrounding neighborhood, the safety level, and the presence of amenities. You can even take it a step further by interviewing the residents in the area so you can make a more informed decision. Though there are many real estate investment opportunities in other places across Canada, the state of the real estate market in Saskatchewan can be attractive to many investors.
From Saskatoon to Regina, Saskatchewan has an investment opportunity for every type of investor, whether you are looking for real estate properties, or even looking to invest in a business in Saskatchewan.
You might also consider hiring real estate professionals or a property management company, who can provide you with many services, including analysis of a particular real estate market in Regina, Saskatoon, or other parts of Saskatchewan.
6. Schedule an inspection.
Before signing the dotted lines, it’s best to hire a property inspector so you have a more in-depth view of your potential investment home in Saskatchewan. Sometimes real estate investors think a home looks fine from the outer condition, but there may be problems that are hard to see such as foundation, roof, or pipe issues.
Only an inspector can find these hidden issues.
7. Determine the total cost.
When you’re buying a real estate investment in Saskatchewan, compute the total cost. You might think you’ve bought a cheap property, but then you may realize expensive repairs are needed to fix major damages.
That’s why you shouldn’t calculate based on the real estate price alone. You should also take into account home association fees if any.
8. Check plenty of properties.
You shouldn’t rush buying real estate in Saskatchewan. Take the time to view as many properties within your budget as you can.
Inspect all the homes, research their neighborhoods and get familiar with their amenities. It’s helpful to document each property you like by taking photos and videos. This way, you can make a detailed comparison and rate each one according to your top priorities.
You might also discover other opportunities to invest in a business in Saskatchewan during your research!
9. Meet with the right real estate agent.
Agents have solid skills that can help you find the most suitable Saskatchewan real estate property for you. They also have exclusive information that may not have been divulged to the public yet. They’ll be able to assist you in negotiating the best deal and ensure the buying process is a smooth transaction.
Buying a Saskatchewan real estate investment might be risky, but as long as you conduct your prior research, it will be manageable. If you need a reliable property management company to help you when looking for residential or commercial real estate investment opportunities in the Regina, Saskatchewan area, don’t hesitate to reach out to Leenan Property Management.
We’re available for consultation at 306-994-5475. You can also visit our website at www.leenanproperties.com to discover our property management and investment services.