How to get the most from your buy-to-let property investment

Investing in property can be a daunting prospect, especially if the property investment market is new to you. With such a wide variety of different investment opportunities to explore, including residential property, student property, commercial property, traditional buy-to-let, city centre apartments, HMOs and buying off-plan, it can be almost impossible figuring out which investment avenue is right for you. Which is where Barrows & Forrester come in.

Clearly, there are upsides and downsides to every different type of investment, and the one that's right for you depends on your personal situation and your own individual circumstances. What kind of budget do you have, for example, and how much of a risk are you prepared to take? When you're just starting out in property investment, we know for a fact you have a lot of questions. Thankfully, we're here to help you answer them, ensuring that you have all the relevant information before you make your final decision on what kind of property investment portfolio is right for you.

What does buy-to-let actually mean?

Buy-to-let simply means that you’re purchasing a property with the express desire to rent it to other tenants rather than live in it yourself. Buy-to-let mortgages are especially created for landlords to buy property in order to rent it out. Typically, they are more expensive than standard mortgages but they are the ideal way to start out on the property investment ladder.

Which is best: residential property or student property?

Student property offers attractive returns and reliable tenants from an ever-growing pool of wealthy students from all over the world. Student tenancies tend to be arranged well ahead of moving-in time and they also tend to come with guarantors, so the risks of not being paid are negligible. The dependable turnaround of students every year means that no matter what is happening in the general economy, the market can be relied upon.

However, although having a reliable and regular income can be enough for many investors, the buy-to-let student property option is probably not best suited to those of you who wish to build a long-term portfolio that delivers strong capital growth.

Prime city centre residential property is more likely to yield long-term capital growth. It also tends to have much longer-term tenancies so you can enjoy the benefits of regular rental income.

There is no correct answer to which is best out of residential property or student property. It really depends on your personal circumstances and your investment goals. This is why we will work closely with you to tailor a prospect investment strategy that meets your needs.

For more advice, specific to your individual circumstances, give us a call at Barrows & Forrester today

Clearly, there are upsides and downsides to every different type of investment, and the one that's right for you depends on your personal situation and your own individual circumstances