So you’re starting to get serious about your finances and feel it’s about time you went ahead with property investment? You’re not alone. The UK property market is becoming an increasingly appealing venture for people all around the world, with qualities like growing demand and rising property prices painting a very promising picture. If you’re keen to get your foot on the property ladder, here are some of the things you should keep in mind to ensure your investment is as successful as possible.
Do Your Research
The worst thing you can do with any investment is to walk into it without any prior research. Researching the property market is so important for property investors, as it gives a better idea of current and future trends, the best areas to invest, and more. Dedicate some time to research the UK cities with the best track record when it comes to things like rental yields and demand, as these are strong indicators of a solid property market. Liverpool is one city that stands out above the rest when it comes to property, with an average rental yield of 5.05% and some postcodes in the city reaching as high as 11.79%. Demand is high in Liverpool, particularly in the city
Find the Right Property
Once you’ve decided you want to invest, you’ll be met with a range of different opportunities and it can be overwhelming trying to work out which is best for you. Think about what type of property you’d like to invest in, such as a student or residential property. There are benefits and downsides to both. For instance, student properties are constantly in high demand, but you’re at risk of renting to potentially noisy and rowdy tenants if you’re not careful. Both student and residential properties are a good idea in the north-west, with cities like Liverpool and Manchester being a hub for students, graduates and young professionals. Other factors like whether you want an off-plan, new build or period property should also come in to play. Off-plan properties are usually a good option, as they have the potential to grow in value even before they’re completed. RW Invest is a property company with fantastic off-plan property opportunities in Manchester and Liverpool, with yields as high as 7 or 8%.
One final thing to remember is to be as financially clued up as possible. Of course, investing in the first place is all about finances, so if you are considering making an investment, you should already have a good idea of the financial side of your investment. If you’re still feeling a bit out of the loop when it comes to factors like taxes, mortgages and yields, however, why not hire a financial advisor that can help you? You should also clear up any questions with the property company you’re working with, as certain companies don’t allow their properties to be paid for with mortgages. The more clued up you feel on these elements, the more confident you will be to move forward with your investment.