Buying a property to rent out is a popular form of long-term investment.
Parsons Choice work very closely with other estate agents in Devon, Worcestershire and the surrounding areas. We specialise in finding suitable properties for investors and will help negotiate the purchase price. On completion we can project manage any renovation work utilising tried and tested contractors in all major disciplines.
Where and what you buy will affect your return on investment. Here are some tips to help you identify a good investment property:
Where to buy
- Familiar markets – Consider buying an investment property in an area you are familiar with as it will take you less time to research. Check recent sale prices in the area to give you an idea of what you can expect to pay for local properties.
- Growth Areas – Look for areas where high growth is expected, where there is potential for capital gains.
- Rental yield – Look for areas where rents are high compared to the property value.
- Low vacancy rates – Find out about the vacancy rates in the neighbourhood. A high vacancy rate may indicate a less desirable area, which could make it harder to rent the property out, or sell it in the future.
- Planning – Find out about proposed changes in the area that may affect future property prices. Things like new developments can affect the future value of a property.
What to buy
- Attractive features – Look for investment properties that will appeal to as many people as possible, like a down stairs toilet, en-suite bathroom, garage or nearby shops, schools and transport.
- Wide appeal – Find a property that will attract more than one segment of the rental market such as singles, couples, young families or retirees.
- Low maintenance – Keeping costs down is important, older homes or those with large gardens may cost more to maintain.
- Property type – Apartments can be easier to maintain than houses, although you could have to pay service fees.
Property has always represented a good long-term investment opportunity and never more so than right now.
At Parsons Choice we utilise a proven model to source, acquire, refurbish, let and manage a property portfolio.
Interested in learning more about our services?
GIVE US A CALL TODAY