Buy to Let Guide
Buy to Let Guide
Buying to let is an investment where you purchase a property – usually with a mortgage – with the intention of leaving it to a third party. More than 80% of landlords quote investment as a main motivator when choosing to let property.
Property is one of the most attractive and easiest-to-understand investments with the chance to make short and long-term gains. Our team of consultants will guide you through your buy-to-let purchase-whether it’s your first purchase or your 10th buy.
Investing in buy to let
There are various reasons to invest in buying to let, whether it’s capital growth or rental income, Paramount Sales and Lettings can support you through the whole process. But here are some tips to consider first.
Understand what you are trying to achieve
Would you like to purchase to allow for the appreciation of capital or rental income?
Decide which is crucial to where and what you are buying because of this.
Unless you have a significant deposit, it is unlikely that you will substantial both.
Is there a lettings market in the area?
Look at the number of letting agents nearby as this will show you how flourishing the market for lettings is.
To know the demand for rented properties in your region, you could either do this yourself or speak to a letting agent.
Choose your location
Research potential rental income and also examine how near the property is to stores, transportation connections, schools and any other amenities that you believe are important to tenants.
Don’t be sentimental – take it as a business
You’re essentially running a small business by becoming a landlord.
This property won’t be one you and your tastes need to reflect, so be practical.
Think long term for growth
Refurbishments can only give short-term capital growth if you have the expertise.
Don’t forget about possible extra expenses:
There will be numerous day-to-day maintenance and management costs, such as allowing for agent fees, landlords insurance, safety checks, rent insurance, general maintenance, and more.