How do you get started, once you’ve decided it’s the right time to get involved in property investment?

If you’re keen to just jump straight in you’re likely to want to go and view a number of the properties available for sale in the area you are inetrsted in. To see how good your negotiating skills are you may just put in a number of low offers and see if any get accepted.

Is this a sensible approach?

The short answer is “No”. This si likely to lead to a lot of wasted hours. Whilst it’s very exciting to go straight out and start “doing” it is much more sensible to sit down and consider what your investment strategy is. .e. do you want to buy for long term capital growth: do you want to achieve monthly cashflow.

Dependant on which option you choose this will determine the type of property you need to invest in to fulfil this need.

The following are all different options to consider:

• Buy to let capital- monthly cashflow is flat, but the investment has the potential for significant capital growth
• Buying a distressed/repossessed house at undervalue Buy to let income i.e. generate a monthly income with rents in excess of costs
• Back to back trading i.e. Buy and sell within a short time frame to make a profit
• Investing abroad

Have you considered which option is most appropriate for you and your circumstances?

This entry was posted on Friday, May 8th, 2009 at 9:04 am and is filed under general, property market general. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.