A single buy-to-let property for sale can provide a lucrative monthly income. However, if you want to make a serious profit, you’ll need to establish a property portfolio.
Building a successful property portfolio takes time, and requires plenty of know-how and market insight. However, it’s recognised as one of the most low-risk ways to invest, and when managed properly, can yield big returns.
If you’re interested in searching for buy-to-let property for sale, with the intention of starting a property portfolio, read on.
Investing in UK Property – Starting a Property Portfolio
- Find the right location. To make good ROI, you’ll need to look for a property in an area that offers good rental yield, plus capital growth. Think about who you want to rent to. If you’d like to target students, you’ll need to look for property in cities with universities. If you want to rent to families, the property should ideally be close to local schools, amenities and transport links. When you’re browsing the market, think like a tenant and work out what would appeal to them.
- Get your finances in order. Once you’ve established a location, you’ll need to work out how you’ll finance your purchase. The most common route is to get a mortgage – though it’s important to note that you’ll need a special mortgage for buy-to-let property. There are other options available, such as specialist portfolio lenders, who often offer more flexible terms.
- Talk to an expert. As with any investment, it’s wise to do your homework before committing. A property investment agent will give insight into the current market, and also pass on inside tips about upcoming areas and hot properties. Alternatively, attend a property seminar to boost your knowledge.
- Purchase cleverly. Most bargain properties aren’t advertised in estate agent windows. You’ll need to get in touch with specialist property investment agencies, who often have properties on their books that aren’t available on the general market. Buying a house at auction is another appealing option. Of course, property auctions are unpredictable, but generally speaking, buyers save around 15% of the market price.
- Develop a strategy. As with any form of business venture, it’s important to have a plan. Before buying, work out how you’re going to attract tenants to your property. What will you charge them? How will you collect rent? A letting agent might be a good option, particularly if you want to keep stress at a minimum. What are your longer-term plans for the property? Create a detailed plan before you get started.
- Be realistic. Talk openly to other landlords about their experiences. If you’ve never been a landlord before, it’s important to get the real picture about what it’s like. Their advice may prove invaluable in the future, and may help you to avoid serious mistakes along the way.
The Buy2Let Shop Limited
If you’re looking for buy-to-let property for sale, and want to find out more about the property market, talk to The Buy2Let Shop. We’re a team of property investment agents, and we’ve got a wide range of properties on our books, priced to sell, and not available to the general public.
If you’d like to find out more about our services, which include help with buying a house at auction, get in touch today via The Buy2Let Shop website.