Demand for rentals at the moment means that there is a market for property purchasers who want to make money
If you have the funds to do so - property is undoubtedly the best investment choice at the moment, and there has never been a better time to buy.
Capital values of properties are as low as they are going to get, interest rates are also at a historical low and demand for rental property still outstrips supply.
The reason for the rental market being so buoyant at the moment is that the quality of accommodation available is so good - a better quality of accommodation attracts a better calibre of tenant - increasing demand.
For those buying a cheaper property to 'do it up' before letting it out shouldn't do it blind.
Do your research into the property. What condition is it in? Is it gas or oil? What state is the heating and electrics in? Do you need a team of experts in?
This all costs money, so factor that in when you are doing your budget. Don't assume you can do everything yourself.
Letting the property leads to another common misconception. Don't assume you can rent the property out yourself.
Always use a reputable agent - it can save you a mountain of problems in the long run.
An agent will handle all the viewings, carry out reference checks on any interested tenants, manage and formalise the tenancy agreement and advise you on the process throughout.
There are so many low-price properties on the market at the moment - in all areas of the country. Always get a survey carried out on any property you plan to buy - this will ensure that your purchase is a sound investment and won't end up being a money pit.
Investors can expect to make a yield of 7-10% per year on top of the capital growth.
This level of return would be difficult to find in any other investment.
Property purchasers will see capital growth in the medium and long-term making buy-to-let an investment where the yield is two-fold.
John Minnis, Director, John Minnis Estate Agents