If you’re on the lookout for your next investment opportunity, buy to let could be a viable option. It provides the opportunity for long-term investment and growth, and you can rent out your property and earn extra income.
For investing on the whole, it’s important to look at the bigger picture rather than focusing on short-term gains, and this is no different for property investment. Regardless of whether this is your first investment or 50th, you’ll need to look to the future of the buy to let market to protect your investment and maximise your potential for growth.
Fortunately, the Manchester property solicitors over at Abacus Solicitors have done just that. They’ve created the infographic below, detailing the potential future of buy to let, so that you can see whether this is the right investment option for you.
Should you decide that buy to let investment is the right option for you, there are a number of steps that you should take to protect your investments, and of course maximise your returns. Read on to discover our top tips:
1. Research the market
The decision to venture into property development should not be taken lightly. It’s important to conduct as much research as possible, to make sure that your investment will be a sound one.
Speak to property experts and lawyers as well as keeping up to date with industry news and updates, to see how the market is currently faring. This will help you to get an overall picture of the buy to let industry and it will help you to see how high the returns on your investment are likely to be.
2. Find the best buy to let mortgage
Even if you’ve been with your current bank for a number of years and you trust their services, they may not have the best deals when it comes to mortgages. You’ll need to shop around and compare offerings from different banks before deciding on a mortgage provider, to make sure you’re getting the best deal.
If you’re unsure about what to look out for when on the hunt for a buy to let mortgage, or you simply need some guidance with the process, you may want to enlist the help of a mortgage broker.
A mortgage broker is essentially the intermediary between you and mortgage providers, and they can scour the market to source the best deals and help you with the mortgage process. This is a great option to consider if you’re new to buy to let investment, however, it does come at a price, so it’s best to weigh up the overall costs and benefits.
3. Decide which type of tenant you want to target
Once you’ve bought your property, you’ll need to think about how to attract and retain tenants, and one of the best ways to do this is by identifying your target tenant.
If your property is nearby to schools and parks, you may want to target families. Whereas, if your property is based in a large city, you may want to target young couples and professionals who may prefer a more modern look. Once you’ve identified the type of tenant you want to live in your property, it’ll be easier to personalise your house to attract these types of tenants.
However, it’s important to remember that most tenants will want to make the property their own, so it’s a good idea to leave your property as a relatively blank canvas to improve your chances of attracting tenants.
Whilst making the choice to invest in buy to let property can be a difficult one, the results can be extremely rewarding. If you need assistance with any part of the process, contact the property experts at Abacus Solicitors to kickstart your property portfolio.