After hours of gruelling research, you’ve finally decided to invest in ‘bricks and mortar’. And you have also decided to go the ‘buy-to-let’ mortgage way. Now that two of those sensible check boxes have been ticked off, we are here to help you with four foolproof tips to taste success on your very first buy-to-let property investment.
Research, research and research
First things first, research the market. Handsome gains await those who invest in properties but one should also make sure that he/she’s sure in what’s in store. Setting time aside to study the market personality will help you gauge future behaviour and make adjustments to your investment plans. You can also avail the wisdom of somebody you know who has already taken a buy-to-let investment. Putting in your effort and time to research will make sure that your investment pays you off as expected.
Find a good property to invest
Finding a good property is the most integral part in a buy-to-let investment journey. A property with a good rental yield will not only help you cover the mortgage you owe to the bank, but also will earn you good income. Not to mention the capital gains you will be making depending on the property. You may want to go through certain questions before choosing a property. Does the location of the property boast a special appeal in town? Is the neighbourhood family friendly? What about the presence of educational institutions in the surrounding? Many even try and get a buy-to-let investment within their own neighbourhood so they could have an eye on their property always. Pondering over these questions will refine your property selection process.
Find what your tenant may want
You have thought about the property from your perspective. Now comes the time for you to get inside the shoes of your target tenant. The type of accommodation a student might be trying to rent out will be different from what a family needs. Additionally, giving the tenants the option of decorating or styling the home to their own needs will also ensure that they stay longer which will benefit you. On the other hand, you can also avail insurance against tenants defaulting on the rent or find out if it comes under a wider landlord insurance plan.
Find a good independent broker
Before we go in deeper, understand that finding a good broker doesn’t necessarily negate the need to go through the previously stated suggestions. Only that a good mortgage broker comes with a great deal of experience. He/she understands the market, is in the market, has a great deal of experience and also extensive knowledge of what mortgage products are out there you help choose the best deal for you. He will not only do the legwork, paperwork for you but also will educate you in the process so that you make only the best investment choices.
GPS Finance has been in the game of making people’s financial dreams come true. Our experts can help you navigate the buy-to-let investment journey in a smooth, hassle free way. All you have to do is go to http://gpsfinance.co.uk/ and find out how we can help you!
- 12 Feb, 2019
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