Buy to let is a popular and lucrative way to make an investment in the UK, with a number of cities offering excellent opportunities and attracting a lot of interest from overseas investors. Before jumping on board, however, there are a few things to think about to ensure you’re selecting the right investment for you. Considering investing in UK property and want to set yourself up for a successful venture? Then take a look at this guide to help you choose the best buy to let investment for you.
Choose a location
Some parts of the UK are better than others when it comes to property investment, with different cities and towns offering varying rental yields, property prices, and potential growth prospects for investors. Currently, property investors are looking Northwards for their next investment, with Liverpool and Manchester top of the list for investment hotspots. Liverpool, in particular, offers some of the best rental yields in the country, with certain postcodes reaching highs of 11.79% due to affordable property prices and increasing rental costs in the city. Comparing the property prices in Liverpool with those in London is enough to put things into perspective. The average house price is standing at £130,677 in Liverpool and £484,173 in London. RW Invest is one property investment company that offers high-quality property opportunities in Liverpool with rental yields as high as 9%.
Consider your budget
Money is obviously a big factor for any property investor, as you can only afford to invest in properties within your budget. For first time investors, you don’t typically want to spend a fortune on your first investment, so it’s good to go for an opportunity that’s more affordable but still has a lot of potential behind it. Student accommodation is a property type that usually costs less than residential properties. In student cities like Liverpool and Manchester, student buy to let opportunities also come with a high level of demand and impressive rental yields.
Think about the property type
There are a lot of different types of properties available for those investing in the UK buy to let market. It’s important to decide which type of property you want to invest in, for example, would you prefer to invest in a new build property or a period property? New builds have a lot of benefits, such as being more eco-friendly and more popular with tenants who want to rent a home without immediate maintenance issues. On the other hand, period properties appeal to those who prefer a home with some history and character. Before deciding which type of property to go for, it is wise to get into the mindset of your potential target audience and think about the qualities they might prefer in a rental property. Off-plan property, which is essentially a property that hasn’t yet been completed, is another lucrative investment option. Off-plan property also comes with a lot of benefits, such as the potential for high capital growth before the property has even been completed, along with giving investors more freedom to pick and choose the best units for them.
We’re very proud to bring you this feature in association with RW Invest. For more property inspiration, please pay a visit to our interiors page.