Increasing house prices and capital growth mean it has never been a better time to invest your money in UK property. For those considering whether now is the moment to buy, we’ve rounded up the key benefits of property investment and how it can allow you to succeed. With prices slowing down in former hotspots such as Oxford and London, Northern cities such as Liverpool, Manchester and Sheffield are now taking the lead with high rental yields and capital growth.
Property investment is one of the most lucrative and profitable industries that with the right research can leave with a huge side income or career. Since buy to let opportunities are on the rise and people are beginning to see the countless benefits it has on their lifestyle, a lot more people are taking the plunge and investing. In fact, a vast majority of elderly people are choosing to invest their pension money into investment properties in order to make a return on them and generate another income after they have retired.
Long-term investment and income
Investing in a UK property shouldn’t be seen as a short term strategy that will gain you a large amount of money in a short space of time. Instead, you should see it as a long-term solution and investment. This will benefit you in later life when you sell any investment or assets that can get the money for these. Those of you who don’t want to wait till retirement to find financial freedom from property investment may want to opt for a buy to let property – you can then receive the rental repayments to use them against your mortgage and still make a second income. if you’re a wise investor, you may want to save up this investment money into another pot and eventually purchase another property and build your portfolio even further.
Growing tenant demand
There is a consistently growing demand for rental properties in the UK which means more people than ever want to rent in the best cities and areas across the country. The current generation is known to prefer renting over buying, which is why there is so much potential. Having tenants available to rent your investment means you don’t have to be worried about rental payments. Instead, you can focus on other aspects of your career and building your portfolio.
Young professionals are popular renters for smaller city-center apartments. Areas such as Liverpool and Manchester are great for rental properties as there is a lot going on. Companies are moving their headquarters to northern cities as there are countless professionals looking for job opportunities, but it’s a lot more affordable up North compared to cities such as London. According to RWinvest, tenant demand will continue to skyrocket in Liverpool as more money is pumped into the city and its surrounding areas. This is only good news for investors as they continue to purchase properties and make more money.
A huge benefit to investors who purchase a property is that if they do their research prior to buying, they will be able to choose the best location possible. Cities throughout the UK are experiencing a lot of regeneration as councils, and private companies inject money into older sites and delict areas, this, in turn, makes for an affordable investment that will eventually make any investor a large amount of money. An example of a regeneration project that succeeded is The Baltic Triangle area of Liverpool. What was once a run-down location, with not a lot going on, is now a hub for innovative, creative and professional businesses and social enterprises that have brought the area to life. Residential and commercial buildings line the streets of The Baltic Triangle, and it’s quickly becoming one of the top tourist locations across the city.