UK Property Investment Hotspots For Exceptional ROI In 2019
The ongoing Brexit saga has been worrying UK property investors for a lengthy period of time – uncertainty is never good when it comes to investments of any type. For many, this has meant looking to the UK for property investment opportunities – rather than on the European mainland. The good news is that there are a number of regions and towns that look set to deliver exceptional returns for the savvy property investor. The fundamentals of identifying that region or specific city/town remain as constant as they have ever been. The first is to find an area where the population is exhibiting strong growth in terms of job prospects – which will, in turn, lead to increasing numbers of younger people moving to the area. Add to this infrastructure development and you have the recipe for a great property investment destination.
Taking those factors into account here are some of the property investment hotspots in the UK today.
Bradford is one of the up and coming property investment destinations. Property here is significantly cheaper than that in nearby Leeds. After some years in the doldrums, the area around Bradford is now receiving the funding for an aggressive plan of revitalisation. A good example of this is the £75 million set aside in 2018 to regenerate Bradford’s inner city. Professionals are also being ured to Bradford due to the property pricing. There are also some magnificent buildings boasting gothic architecture which will make ideal apartment blocks. Many are currently undergoing renovation and refurbishment.
Another great property investment destination is Liverpool. the city, which was deteriorating – and had fallen out of favour with property investors during the 80s and 90s has now received a shot in the arm through focused business investment and centralised regeneration efforts. A young, professional population looking for long term rentals and property prices which are steadily ticking upwards make it an attractive proposition for investors who are prepared to act quickly.
Leeds is another great city for property investment. It is a bit of an evergreen option due to the fact that it is a university city – and that has always attracted savvy property investors. With three universities in the immediate vicinity, there will be no shortage of students (and parents) in search of quality accommodation options. There is also a large population of professional people in the city who are in search of accommodation at the higher end of the renal market.
This is another city that will reward property investors that are quick off the mark. The amount of gentrification that is underway is steadily pushing prices up, however, according to many industry pundits, there is still considerable upside to be explored.
There are other cities in the UK that will reward a considered investment strategy. These include Manchester, which also boasts large student numbers and a large professional population. It also hosts global sporting extravaganzas on a regular basis and infrastructure spending is increasing year on year.
Brexit is a worry – but for those who set their sites on exceptional property opportunities in the UK, a balanced portfolio with a low risk to reward ratio is still very much within reach.
The Best Property Investment Tips For 2019
If you’re looking to build a nest egg or another source of income, then property investment is one of the best ways to do so. There are many ways you can get into this field such as through buying and renovating houses and then selling them, buying houses and then holding onto them until their value increases and then selling, buying and renting out various properties etc. So, with that said, these are some of the best property investment tips for 2019.
The first tip is to always know your budget and cashflow and stick to it. If you intend on taking a loan from the bank in order to fund your property investment ventures, then you should get pre-approval first before you start looking at any properties so that you know how much you can spend. This will ensure that you don’t go after properties that are above your budget and put yourself in financial distress.
Next, you should always choose to buy properties that are in high demand areas or areas where there is steady to high growth. For example, you should look at areas where there is high rental demand such as near to schools, universities, places of business etc. Also, by buying property that is near to transportation hubs will also make it attractive to potential renters.
Lastly, before you buy any property, you should always get a building inspection. This is extremely important because while a property may look like it is in good shape, that may not be the case leading to expensive repairs. A building inspection will let you know what you’re getting into so you can ensure you make a return from your investment.
To wrap things up, we have just looked at a couple of tips that will help you to invest in property in 2019. Be sure to keep these tips in mind and soon you’ll be an expert property investor.
Property Investing Trends For 2019
If you are thinking about investing in property this year, you need to know what some of the real estate trends are. These trends can impact your investments in both positive and negatives ways. They can also affect what you invest in and how much work you need to do to maintain your investment.
Continued Flat Interest Rates
The first trend for the year that you need to know about relates to the interest rates. It is believed that flat interest rates are going to continue regardless of the outcome of Brexit. This can be a good and a bad thing for investors.
If you need to get a mortgage for your property investment, the flat interest rates can be good. However, other types of investing can find this to be a problem.
A Slowing Property Market
If you are interested in flipping homes, the slowing property market could be a problem. Over the last year, there has been a decrease in house prices in London. This is expected to reverberate outward into other areas across the country.
Related to this is the increased housebuilding that is taking place. These two trends are set to create a buyers’ market which can be bad for short-term investments. An increased supply of homes will result in lower returns on your investment.
However, if you are looking at a long-term investment, this could work in your favour. The slowing market can make it easier to add property to your portfolio. However, you will need to keep an eye on the rental market to ensure that it does not take a hit from the general slow in the market.
Brexit Is Creating Uncertainty
The uncertainty surrounding Brexit and the overall impact it will have on the economy is creating caution in the markets. All investors will need to focus on a long-term strategy to deal with the risks coming from Brexit.
Flipping houses might not be the best option at this point with buy to let properties being the focus for many investors. Commercial property also carries risks related to Brexit as business confidence in the country is not what it used to be. This could result in void periods which can negatively impact your cash flow.
Each year there are trends in the property market that you need to know about. For 2019, you need to consider the continuing flat interest rates and the slowing property market. You also need to take Brexit into account.
Top Property Investment Tips For 2019
If you’re looking to get into property investment, it is highly recommended that you don’t just do so blindly. There are many things that can go wrong if you just purchase a property without doing your research in the hopes of flipping it or renting it for a profit. Property investment requires a lot of research and due diligence in order to be successful. So, we will take a look at some of the best property investment tips for 2019 so that you have a much better chance of being profitable.
The first tip is to have a tight handle on your financials and know exactly how much you can afford to spend on a property. You need to keep in mind your current debts, whether or not you’re still paying off for your own home, credit card bills as well as calculate your future debts and cash flow if you were to purchase a property. Every property that you buy will have its own monthly costs in order to upkeep or run it and you should be closely aware of these numbers. Also, if you intend on getting financed by the bank or any other financial institution for your investment, then you should get pre-approved first before you start looking. This will ensure that you know your exact numbers on what you can and cannot afford.
Next, you need to be realistic about your expectations. Many people get into property investment thinking that it is a path to quick riches. However, this is only possible during a real estate boom and if there is one, then you should take advantage of it to buy, renovate and quickly flip for a profit. However, if there isn’t a property boom, then you will likely need to buy and hold onto the property for years before you can sell it at a profit.
Thirdly, you need to have building inspections done on any property that you want to buy. This is extremely important since a building inspection will let you know the true state of the property and if there are any serious issues such as mould, fire or water damage, issues with the plumbing etc. This will ensure that there are no surprises when you start doing renovations, which can possibly cost you many thousands of dollars, which will drastically eat into your potential profits.
This means that you need to use your mind and logic when considering a potential property and not just your heart. Many people buy a house from their heart, meaning that they fall in love with it and don’t fully acknowledge its issues and flaws. However, if you want to be a good property investor, you will need to separate your emotions from fact and make your decisions solely on whether the property is a good investment or not.
So, as you can see, property investment has many challenges, but if you are aware of all of them and keep them in mind, then you can potentially be very successful in this business. Be sure to continue learning and your knowledge will ensure that you make great investments.