If you want to start a new career in property investment it pays to work with the best estate agents. Mayfair & Morgan offers great advice on making the most of your money.
HOW DO I GET INTO PROPERTY INVESTMENT?
There is no ‘one size fits all’ so research and network with other property investors, as well as contacting an experienced estate agent are good places to start. Know your current financial position, your risk profile, income levels, savings, credit score and equity as they all have a part to play in determining what your chosen strategy should be. Are you investing for short, medium or longer- term returns? Are you hoping to achieve a regular income or a lump sum return? Do you want to carry out renovation work or are you looking for no initial expenditure when you purchase a property? Have clear goals so you are not swayed by glossy marketing brochures.
WHERE SHOULD I CONSIDER BUYING PROPERTY?
Property is all about buying within a budget that will deliver the best capital growth and yield. When deciding where to buy, research is key. Study geographic housing trends which are readily available online. Again, contact a good agent who knows the areas you are keen to consider. Do you want to invest locally so you can be readily available or further afield if returns are greater? Carry out research on your preferred location, what are the average rental prices, the number of rentals in the area, housing demand, rental void periods, and also look at the local amenities in each area together with any development plans in the pipeline. You want a property that will appeal to both tenants and buyers. On that basis, we recommend an area located close to shops, schools and transport links as well as a property with the right features tenants love, such as off street parking, a garage, storage space and outdoor areas.
SHOULD I BUY A PROPERTY THAT IS A LOWER PRICE THAN OTHERS?
Properties on a lower price point and positioned next to major amenities, lifestyle features and with rising incomes in the area are likely to perform better in the long run. It’s generally easier to sell a property in an affordable location than an expensive one. Examine the property in detail to see if it has the potential to be renovated, subdivided, extended or redeveloped in the future.
WHAT IS CONSIDERED A GOOD RETURN ON INVESTMENT?
We like to pick projects that will deliver a growth rate of over 7%. Combine this with a 5%+ rental yield and you should earn a total return on the property asset of at least 12% pa. This is only a drop in the ocean of property investment so for further advice and details, we recommend coming in and chatting with one of our team. We have been in the business for 40 years and have assisted hundreds of investors meet their goals on their property journey.