Investing in property ranks in the top four most common types of investment in the UK; the others being shares, cash and bonds. There are different ways to invest in property from fund investment to creating your own buy-to-let portfolio. But one key factor remains if you’re going to be successful in your property investments: location, location, location.
Why Is Location So Important?
Location affects your investment in a number of ways. Firstly, if you’re buying property to let it out, then you need to choose an area that has a strong or growing lettings market. Many investors choose areas that have a high student population or which are close to good commuter links, for example.
Secondly, the rate at which property value increases varies wildly from county to county, and this should be considered when choosing an area to invest in. A good property investor will also understand the market sufficiently to know when and where changes in local infrastructure, such as rail links or new hospitals, are happening, as these will have a huge impact on the property market there.
If you’re thinking about investing in property, there are some risks you should be aware of before you start. The Money Advice Service provides some hints and tips about how best to avoid these risks.
One of the risks involves the legal aspects of transferring a property from the vendor to the buyer, or conveyancing. While it sounds straightforward, and indeed it can be at times, it’s always worth using a professional. Disputes can arise over land boundaries and retrospective planning permission, and conveyancing solicitors, such as https://www.samconveyancing.co.uk/, have the expertise to handle these in an impartial and knowledgeable manner.
London not only features highly on the domestic property market as a lucrative investment area but is also popular in the international market, recently entering the top five global property investment hot spots.
Russians in particular have been very active in the London property market for several years now as they try to shore up their personal finances against the threat of any further political or economic crises in their home nation.
The nation’s capital is also the most heavily populated cities in the UK, with just under nine million people already living there and many more wishing to do so.