According to recent figures from Zoopla, 70% of homebuyers are looking for a ‘project’ when investing in property in the UK. The average Brit is willing to spend over £17,000 to bring their home to standard; and as many as a third are prepared to undertake serious renovations, such as structural work, to create the property they want.
If you’re looking for buy-to-let property for sale, and you’re considering taking on a ‘doer-upper’, here’s some key things to be aware of.
Property Investment Opportunities – Taking on a Project
If you’re happy to take on the work when investing in UK property, buying a ‘not quite perfect’ house can offer great ROI. Here’s some things to consider when searching for the right buy-to-let property for sale.
- How much will it cost? When investing in UK property, every penny counts – if you want to make a solid return. Don’t estimate what the work will cost – find out. Get quotes from builders, plumbers and electricians, and make sure you have a good idea of what the bill will be at the end of it all.
- What profit can you expect to generate? Before investing in a property in the UK, you need to have an excellent grasp on the market. For example, if you’re planning on adding an extra bedroom to the house, how much more can you expect to make when you sell it on? What do similar properties in the near vicinity sell for? If you’re unsure, book a place at a property investment seminar to bring your knowledge up to speed.
- What improvements generate the best ROI? Some improvements make a lot more money than others. Creating a new bedroom can add 10% on the property value. Making more living space, such as adding an extension, also generates excellent returns. A loft conversion adds, on average, about 20% to the value of your house. Remember, an improvement doesn’t have to be expensive to make your property more profitable. Sometimes, even small improvements, such as creating a ‘study area’ under the stairs, make a house much more appealing to buyers.
- What is the current market trend in the area? Are houses selling well in the area? Are prices likely to rise in the future? Look out for evidence of future regeneration, or planned transport links – these can cause property prices to soar. Likewise, be aware that if prices fall, so will your profits.
- What overall condition does the property need to be in? If you’re looking for a buy-to-let property for sale, you’ll need to ensure that your house meets the legal standards required for tenants. Again, if you’re not sure, attend a property investment seminar to brush up on your knowledge.
The Buy2Let Shop in Bromley
If you’re looking for property investment opportunities, talk to The Buy2Let Shop. We’re a team of professional property investment agents in London, and we’ll help you locate the right buy-to-let property for sale for your needs.
We also offer assistance with buying a house at auction, and regularly host informative property seminars in London, designed to improve your knowledge and boost your future ROI. To find out more, simply visit The Buy2Let Shop website today.