Common Mistakes that First - Time New Launch PropertyInvestors Make

If you are thinking of investing in New Condo, it is important that you take time and acquaint

yourself with some of the common mistakes that a majority of first-time and even seasoned

investors make while venturing into this type of market. Failing to take into account these

points can be tragic.

1.Failing to take into account tax implications

The primary reason why people invest in different ventures, including real estate investment

is to make profits. Prior to investing in any kind of investment, you need to first of all take time

and fully comprehend the tax implications of:

-Buying a property.

-Owning a property.

-Selling a property.

Therefore, you need to consider consulting a real estate accountant so that you can

comprehend the different aspects of taxation in real estate.

2.Do not assume that the New Launch Condo will appreciate in due time

Singapore is one of the countries that have witnessed tremendous growth in the real estate

market. While this is good news to both developers and investors, it is important to point out

that appreciation is not guaranteed. Given that most investors are keen on disposing their

assets after 3-4 years, they are more likely to incur losses if they fail to take into account that

the property may fail to appreciate.

3.Failing to research on the neighboring real estate lots

Obstruction is one of the major problems with new condo investment. In order to avoid

buying a new launch condo in a complex that will soon be obstructed by another building:

-Find out if there are upcoming constructions in the neighborhood.

-Get to know if there are sheltered heritage properties in the area.

Failing to take the above points into consideration while doing your due diligence will result in

depreciation of the property you have just spent tens of thousands of dollars in acquiring.

4.Failing to do your mathematics

Unlike other forms of investments, new condo is purely a game of figures. The good thing is

that these figures enable investors to not only predict, but control the market. Taking time to

do your mathematics will enable you to determine if you are more likely to make profits from

your investments or not.

5.Failing to interpret market signals

Failing to take into consideration is a common mistake that a majority of first-time investors

make thereby causing them to incur losses in the process. Do not believe everything that the

media tells you. Instead, take time and assess industry reports in addition to asking the right

questions.