Investing in property makes as much sense as ever. With the spot gold price at an all time high, there is a high demand for properties to rent and the market is very strong. If you have access to funds or can find some equity in your current property, it could make real sense for you to invest. Not only will you have an asset that is appreciating but you will benefit from an income from your tenants. With bank interest rates low this can be a good way of safeguarding your future.
This is something my parents are currently looking into, and it has been really interesting looking at properties online with them (they’ve been doing this ever since I started looking to my first house in 2014!). It’s really got S and I thinking about the long-term, and where we see ourselves in the future. But alas! From mundic to apartments, houses to chalets – there is so much available, it’s hard to know what is going to be the best avenue to invest in.
What type of property?
This will to some extent depend on your budget. You’ll have to consider the costs of buying the property along with the legal fees. You will also want to factor in a budget for renovations. It is most likely that you will need to spend some money on the property before it can be let out.
Most investors are looking at or close to the bottom of the market. This can be quite a competitive area as you will be up against first-time buyers as well as others who have the same idea as you. It can pay to take advice of a company that deals in property and in particular property investment. They will be able to advise you on the right price to pay and also show you where you should be looking.
From real estate agents to auction houses and online search engines, make it your business to find out what is available. Be prepared to move quickly for the right property. Remember that you are buying this house or flat as an investment and as such will not have to live there. Make this a head and not a heart decision.
Prepare the property
Depending on the state and condition of the property you will have to spend a little time and money. You will want to make it into an attractive proposition for a tenant. Tenants are more likely to be interested in a home that is clean and clear of all rubbish and debris. They will want to know that the house can be heated easily and that is will be warm in the winter and above all, dry. You will need to ensure that all your services such as gas, water, and electrics are tested and serviced.
Lightening up the interior of a house can make it very attractive. A fresh paint job is not a big investment and can lift the interior. Go for white to neutral colours and paints walls and ceilings. If you have old and worn carpets, you might consider laying down some basic new carpet or floor covering.
Consider if you are going to let the house furnished or unfurnished. An unfurnished house, for example, might be more attractive to a family, who might be likely to stay longer if they bring their furniture. A student let on the other hand is more likely to be short term but will need to have some basic furniture in place. Many rentals include appliances and even whiteware.
Once you are satisfied, the best way forward is probably to let an agent handle the let for you. They have done all this before and it will make the whole process much easier to deal with. You can take a step back knowing that you have made a solid investment and provided a home for someone to live in.