How To Invest In Property This Year

Rather than keeping their money in traditional savings accounts, it is becoming increasingly common for people to invest. Of course, investing provides you with the opportunity to make a lot more than you can from the interest on a savings account and there are lots of different ways you can invest your money these days.

From stocks and shares to bonds and funds, there is an investment opportunity for everyone, yet property tends to be one of the most popular choices. Buying, owning, renting and selling property can be a lucrative investment strategy, and there are a few different ways that you can invest in property. Below we have explored some of the most frequently chosen options amongst property investors that are worth considering if you’re interested in investing your money in property this year. 

Rental property

This is one of the most common types of property investments and lots of people will choose to purchase a property with the intention of letting it out long-term to tenants. A rental property can provide an additional monthly income and with the option to have a house in multiple occupation (HMO), you can make a considerable amount from rent alone each month. Not to mention, there is potential to make a profit whenever you choose to sell the rental property too. 

It is worth noting that being a landlord is a big responsibility though and you will need to ensure that you’re compliant with a range of laws and regulations. You will also need to make sure you are in a position financially to be able to cover the mortgage on the property during any vacant months. An estate agent will be able to help you find the best buy-to-let property and they can support you with the whole letting process as well. 

Property development 

When looking for a shorter-term property investment, people often turn to property development, also referred to as ‘property flipping’. This type of investment involves purchasing an undervalued property, renovating it and then selling it for a profit. Property renovation can be a great opportunity for anyone with experience in handyman services, like painting, decorating, construction, plumbing and electrics. 

In order to make a profit on this type of investment, it is essential to add as much value as possible with the least expensive renovations. You also need to be able to renovate the property in a short period of time to reduce the amount you have to pay on the mortgage, so having a considerable amount of disposable income is key for this property investment. Good knowledge of the property market is important when flipping properties as well. 

Holiday let property 

An alternative to traditional buy-to-let property investments is holiday let property investments and this option is becoming more and more popular. Furnished holiday lets can provide a higher monthly return on investment than long-term lets and you can charge significantly more for people to stay in this type of property. Short-term lets have the opportunity to provide a huge rental income, especially when the property is situated in a desirable area. 

Owning a holiday let does come with similar responsibilities to being a landlord though and there is often a lot of work involved with maintaining this type of property. This investment will usually only make money at certain times of the year too, so you will need to make enough during the peak season to cover the mortgage on the property all year round. Of course, furnishing a holiday let is an additional cost to take into consideration too. 

Finding properties for sale in Old Harlow 

If you’re interested in investing in property and you’d like to speak to an estate agent about the local property market, don’t hesitate to contact us at Wright & Co. We have a brilliant selection of properties for sale in Old Harlow and the surrounding areas, and regardless of what type of investment you’re interested in, we can help you find the perfect property. Collectively, our team has over 110 years of experience and our wealth of knowledge of the property market puts us in the best position to assist you. Our customers have always been our priority and we can assure you that we will act in your best interests at all times. 

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