As real estate investors, our operations have come to a standstill. But how long will it take for us to start moving again, and how long will it take us
to get back on our feet?
The short answer; who knows?
The longer answer is that we can assume that the residential property investment market will definitely change. These times are unprecedented – that
is a fact. As has been covered in previous blogs, the COVID-19 pandemic affects everyone – landlords, renters, property investors, the lot. However,
property is a long-term investment, not a passing consumer trend. Although it may reshape, we have confidence in it succeeding in the post-COVID 19
landscape.
Achieving your long-term vision
When you first get going, you give yourself a long-term goal and milestones to achieve over a certain period of time. Given the circumstances, not achieving
your goal within your timeline does not equate to failure. It does, however, require some level of goal readjustment. You will need to readjust your
plans in two key areas: rent returns and capital growth.
Making a return on rent
This sounds glaringly obvious, but your key stakeholders here are the ones who are paying the rent in the first place. However, those with investment properties
will feel the stress of not knowing how long their properties can be supported if renters struggle to pay. Therefore, speaking with your mortgage lender
is also crucial. Reach out to those who are giving you the return (your renters), understand the legalities behind rent arrears and/or rent holidays,
and create a plan so you can mutually support one another in this time.
Growing your capital
While there is no definite timeline...
