An Intro on Property Investment Options
Many people are attracted to Property investment because of the perceived security that comes with it. However, unlike other investments, something tangible is at stake - your bricks and mortar. With property investments being so popular, there has been an explosion recently in different types of property investment opportunities. Here's a guide to some of the more common options available at present:
Buy-to-let is the most common form of property investment and refers to purchasing a property to rent it out to tenants. The aim is to achieve a regular income as well as capital growth over time. This type of investment is popular with those who are new to the world of property investment.
Build-to-rent is a newer model that has been gaining popularity in recent years. With build-to-rent, investors purchase land and then build a new property on it specifically for rental purposes. You can do this in conjunction with a developer or by yourself.
Houses in Multiple Occupation (HMOs)
HMOs are properties that are rented out to multiple tenants - usually three or more. This can be a good option for investors who want to offer a regular income from the outset, as the tenancy agreements are usually shorter than those for buy-to-let. In addition, they can be highly profitable due to their multiple occupancies that generate multiple rental income streams.
Property investment opportunities include purchasing new build properties before they have been completed and ready for occupation. This is an increasingly popular option as it means you will likely get a better deal by snapping up a property at pre-launch prices and then selling again once it has been completed and the market has moved on.
This is similar to off-plan but with one key difference; rather than buying existing properties to rent out, people invest in holiday lets - which allow them to capitalise on travellers looking for short term holiday accommodation. This can be a particularly lucrative option in popular tourist destinations.
Whichever route you decide to take, always do your homework and seek professional advice before making any investment decisions. With the right planning and research, property investment can be a very fruitful way to grow your wealth. Please get in touch with a local property investment service today for more information. A member of the team will be happy to answer any questions you may have.