How to get into the Property Game

With 2013 right around the corner, a lot of us are thinking about what we plan to do to make it the 'best year yet'. Maybe you are considering trying your hand at property investing (if you haven't already). You may be a little overwhelmed with the amount of information that is out there and you are looking at making the leap, but you don't know where to start.

Here are a few points to consider:

1 - Make sure your job is secure

The economy is recovering and there is a lot more confidence in the market. Hopefully that translates to your job. If you are looking at using banks as your primary source of mortgage funding, then you will need to show them that your job is nice and secure, and that it's not likely to end anytime soon. (That is a little like crystal ball gazing.)

2 - The bankroll

What have you saved for a deposit? Have your folks chipped in, or what about other sources of money - maybe a nice win from lotto? Make sure that you have at least 10%, and some banks will want more.

If you are relying on a First Home Owner Grant (FHOG) remember that more often than not they are designed for properties that you intend to live in rather than investment properties.

3 - Book smarts

How much do you know about investing? What is your strategy and do you know how to evaluate a property to see if it's a good investment? If not, then stop and start researching and learning otherwise it will make your life a whole lot harder.

4 - Build your team

This is important. You need a lot of people around you to make a successful investor - Lawyers, building inspectors, buyers agent, financial planner, a property investment adviser, finance team etc The sooner you build your team, the sooner you will be able to put offers in on properties.

5 - Pull the trigger

It can seem overwhelming to have to know all this information. Combine that with probably your biggest purchase to date, and you a likely to get caught up in 'analysis paralysis' - you research and research and research, but don't have the confidence to actually do it. This is when your team will help push you over the edge.

So you have the steps, so how are you going to go ahead and jump into the investment game?