Home Investment Property Investment: The 10 A’s Of Property Purchase

Property Investment: The 10 A’s Of Property Purchase


Regardless of you buying a property for personal use or for investment purpose, the following 10’As must put into your consideration before searching for the property. It’s not only can affect your property valuation in the future, it also affect to your hard savings – if this property is worth to buy.

1. Accessibility 

➢ This is the top of the most important factors for consideration while buying an investment property. How much money you spend on this property will affect its value in the future. However, money can only do very little to improve your location and accessibility to where you go from day to day.➢ Check the location of public transportation terminals, how many rides, how long the travel time to particular places, traffic condition and etc.

➢ Because you’re trying to improve your lifestyle, the property that you purchase must be in vicinity of your workplace, your children’s schooling and your lifestyle. This also can apply on your plan when hunting for investment property.

2. Adaptability

➢ The property must be adaptable to the growing needs of the family. It may be just small for now, but the structure must be solid enough to add more space like adding a second or third flood in the future, or upgrading the house to your future anticipated needs.➢ Be aware that there are subdivision developments that don’t allow changes in the structure of the house, so you’ll need to check on the details as to how you will adapt to your future space needs.

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3. Adequacy

➢ Adequacy means sufficient in terms of rooms, floor area, utilities, amenities and car parking lot.➢ How to define that this property is adequate enough for you? Well, the property should remain spacious after you install all the appliances and furnishings you need and the cabinets and closets for all your belongings.

➢ Most often though adequacy might be in conflict with affordability, so you might compromise by accepting a less adequate space for the meantime but can be expanded in the future when you have the budget.

4. Admirability

➢ Admirability means extreme feeling of likeness for something.➢ Usually this pointing at high-end properties which is the spectacular mountain or city view, design of the house, beachfront feature and etc.

➢ This is not necessary requirements of property purchase, especially on low cost housing which acceptability may just be but it’s great factor for consideration too.

5. Acceptability

➢ Acceptability means if the condition of the unit, the housing style, the material used, the neighborhood, the quietness, the security, the deed of restrictions imposed on subdivisions or condos corporation are acceptable to you.➢ For example, some developers don’t approve any changes in the frontage of the house while other do allow. There are condominium or apartment projects that do not allow pets and you might not like the idea.

➢ If you consider buying condo or apartment, it will be good to know the deeds of restrictions of any development before deciding to reserve a unit to ensure that you’re acceptable to all conditions and restrictions of living in the place.

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6. Availability

➢ You may have so many expectations for features of your dream home, but if these are not available, it’s still useless.➢ Waiting for them to become available may elude you with the investment that you could have started right away.

➢ Your property agent or broker will be more than happy to help you find what’s available for you. You need to be watchful always for availability of a best deal.

➢ It nothing seems very interesting at the moments, it’s sometimes a good idea to just keep in saving money for the time being and when it accumulates, you can use it wisely the moment a very good deal comes along.

7. Appreciability

➢ Property appreciation is much more important for property investors, so do the homeowners. Hence, the property must be durable enough to last a lifetime and that the style is so that the property will not easily become obsolete.➢ For homeowner, you will never know that when you will be transferred t other areas as required by your work or business or your children, etc. Therefore, the property must have a very good resale value such that when you sell it in the future, you make a good profit aside from using it for so long.

➢ For property investors, the main problem for them is they focus too much on what they want in a house, too often blinded by their desires only to fall victim of a property investment principal which is “over improvement”.

➢ The most practical is to enjoy the house at the same time you are confident that someone will buy it the moment you don’t need it and of course, for a profit.

8. Affordability

➢ What is your budget, what is the price of the property, how much is the down payment, what is the interest rate, what is the monthly repayment, how much you can borrow from bank base on your income?➢ If your income is not enough for a 20 year term loan, you can choose the longest term up to 30 years depending on your age. In another way, you can combine the income of your family members to get the better loan offer.

➢ These are the questions you need to ask to find out your affordability and if how much a bank can borrow you. Again, a property broker or agent can help you find a way to make the property affordable for you.

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9. Acquirability

➢ Acquirability is the condition of the property that can make it easily acquired by the buyer by checking if it is titled, the tax declaration is current, is the property no zoning violations nor violation of ordinance or existing laws, no boundary problems, not mortgaged nor having legal problems, or not subject to road expansion, not prone to flood or landslides, etc.➢ Checking should be farther than what your eyes can see. You may interviews with the neighbors, or check on the property during rainy days.

➢ Due diligence is to do everything within the power of the prospect buyer to check and protect himself from troublesome deals. Negligence to do this could produce disastrous results.

10. Applicability

➢ Applicability means that the property is suitable, appropriate, useful and serves a purpose.➢ Even if it is not the most ideal property and it it’s not the best deal at the moment, for as long as it serves a god purpose, it’s a best deal.


—WMA Property