Having a pre-conceived opinion about certain suburbs can cloud an investor’s decision, so it pays to keep an open mind.
It’s true that the ‘blue chip’ suburbs get a better rap than others; however, moving away from the crowd could in fact, land an investment gem. It’s a bit like buying that expensive pair of shoes. You go ahead and decide to buy them for their designer brand name, only to find out later that they don’t deliver what you anticipated. Investors are no different. Blue chip areas can attract a lot more attention, simply due to their name.
Investing in property is a huge financial commitment so it’s understandable investors focus on what we know and what makes us feel safe – it is human nature after all. But considering something humbler than the ‘designer suburb’ and venturing outside your comfort zone could pay dividends.
Treating your investment like a business is imperative. Leave your emotions at the door and remember you’re not looking for your dream house, but a vehicle to create long-term wealth. Whilst some suburbs may not be your choice as a place to reside, they may fit the demographics and criteria of your investment strategy.
The best strategy to consider is to stop following the crowd, get rid of any preconceived attitudes towards particular suburbs and create your own path. By getting past ‘what you already know’ and opening yourself up to all opportunities, you may find some real gems!