Are you interested in investing in property? Besides the standard benefits of running your own business, such as the financial gains, independence, flexibility of being your own boss, and power and control, you’ll also benefit from being in the industry itself over other industries. Property development benefits from a thriving rental market, being a very low-risk venture and a fairly hand’s hands-off strategy.
No matter the price of the property you are potentially looking to invest in, whether it’s your start or your adding to a property portfolio, there are lots of benefits of investing in property. Below we look into some of them.
Thriving rental market
The rental market often thrives, with more people looking for short-term apartments and long-term apartments over buying. By operating in a thriving market, you are more likely to get a return on investment quicker than if you were to enter alternative markets. Plus, the barrier to entry in the property market is a lot less than others – you simply need a deposit and then you are good to go. Being a popular market, you will often find you know more people who currently work within it than in other markets – this is good as you can reach out to them before committing.
Low-risk venture
Property is considered a very low-risk venture when compared to other industries. No matter what happens in life, people will always need a property to live in, making it very safe in the long run. Yes, there will be times in the property market when it can get difficult but if you are able to sustain yourself, you’ll find there is a lot of money to be made in the future. Getting into property can be done with as low as 5% depending on the company you aim to get a mortgage from.
Fairly hands-off strategy
In a lot of industries investors take a key role in the running of the company they invest in – and why wouldn’t they, it’s their money they are investing. With property, you can be as hands-on or hands-off as you would like. A lot of investors will use a property management firm to run their portfolio so that they can go for a hand-off approach and concentrate their efforts elsewhere such as forex trading.
Overall, property is a very safe bet for investors and can be very enjoyable. We would always advise doing as much research as possible before investing in anything in life, in order to make sure it’s the right thing to do – property in most cases will be the right thing. And with property, if things don’t work out, you can always sell your property in order to get your initial investment back (you may even make a profit if the market gains whilst you own your property).
Have you invested in property before? What benefits and negatives did you find there were in property? Is there anything you think we should add to the above list? Let us know in the comment box below.
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