* Firstly, be aware of and/or investigate the drawbacks. Know why the property is cheap.

* Be realistic about prospects for future capital appreciation.

* Be realistic about future resale potential.

* Be realistic about the letting potential, and about the level of rent which can be charged.

* Calculate yields accurately. Also, where the possible yields make the property seem an attractive investment ensure that this far outweighs the drawbacks, such as a lack of capital appreciation. (Cheap property is often a proposition for income rather than profits.)

Most important of all, never confuse cheapness with value. Cheap property can offer an excellent opportunity to investors. However it can also offer the worst possible false economy. Before jumping in do your research, take advice and know what you are getting involved with.