First Time Property Investor
April 2nd, 2010
Many people never give a second thought to investing in property and even more are put off hassle and time it takes to find the right property at the right price, not to mention the initial financial outlay and ongoing commitment. Investing in property can be challenging, that’s true, and many investors are self-taught, but the rewards can be great and there is plenty of help to be had out there, if you know where to look.
Once you decide to dip your toe into the property market, you must decide on a strategy. You must chose your goals and define them clearly; for example, are you looking to build equity or an income stream? Are you going to restrict yourself to your local area or are you going to invest nationally, or even internationally? As a first time Investor it is always perceived to be a good idea to invest in an area you are familiar with or use an Investment company that knows an area well. Happy Homes have been investing in Nottingham for a number of years now and have helped 1st time investors take that first step onto the Property Investment Ladder.
People invest in property for various reasons the main two as we have said are equity growth or an Income stream.
If you want to invest for growth or capital gains you must be prepared to take a long-term view on your investment, equity growth does not happen over night and you have to keep an eye on the market to make sure you are not caught short if property prices take a dive. If you are investing for income, make sure you do the maths and take all expenses into consideration. Bear in mind also that your priorities may change in future years so be prepared to be flexible with your plans. Many people who build a property portfolio which offers a combination of income now and future growth.
As part of your plan you will need to build relationships with a good tax specialist, a mortgage broker and a solicitor, all of whom you can have confidence in, since having a good team in place can save you time and money as you invest, along with the peace of mind knowing that they are always acting in your best interests. Happy Homes Investments work with highly skilled professionals we’ve known and worked with for years, and who we’d be only too pleased to recommend.