3 Ways to Make a Return on Your Property Investment
What you need to know before you commit to buying an investment property
Many business moguls feel that investing in property is a smart move to make. After all, there is a lot of money
to be made from bricks and mortar. But, you need to be savvy before you start investing your funds into property. There are many considerations
that you need to make before you go head first into this large financial decision.
There are some things that you need to be aware of before you commit to buying. This is so that you do not lose
out financially in the event of resale. Let’s take a look at how you can make a return on your property
|Property investing can be a smart move if you do your homework and figure out the
best way for you
to earn returns from your property buy. (Image source: Flickr)
1. Renovate and Sell
Many people believe that they can buy a rundown property and turn it into a gold mine. But, if you don’t have
any construction experience, this can end up being an enormous drain on your personal finances. Wannabe investors
should seek to buy property that has been repossessed. This is an excellent way of getting a house cheap, but still
has room for making money when it comes to
Of course, you should aim to make the rooms within the house look more homely. A lick of neutral paint and a new
bathroom and kitchen shouldn’t cost much more than £8000. So, if you are keen to make an investment and see a
return calculate your budget and research current property resale values in the area.
2. Buy to Let
Buying to let is a very popular way of seeing a return on investment in the property sector. When you look at
property, you need to think of the demographic of the area. A one bedroom apartment will not be sufficient if the
location is something of a family area. To get more room for families, aim to look for a 3 bedroom terraced house for sale. Make sure that you are near schools and other
If you are looking for property to buy to let in the city, apartments are an excellent option. Many people
cannot afford rental prices in the city when it comes to houses. Think logically and research your buy to let
market. This way you are sure to a return when it comes to rental values. You should seek to pay the mortgage and
have some left in the bank as profit.
3. Location, Location, Location
Whether you are choosing to renovate or whether you are looking to rent, a lot can be said for choosing a prime location. In the main, you need to seek out areas that are central to
amenities. Shops, schools and good rail links are all vital to buyers and sellers of property. This means that
you need to find an area that suits the needs of those who are in the rental market.
Aim to study OFSTED reports in the area. Make sure that hospitals and healthcare facilities in the
area are in good repute. All of these factors are favourable to both buyers and sellers. Research your location
before you commit to buying. This is one of the most important factors for investors when it comes to seeing a
lofty return on investment.