INVESTMENT PROPERTY
Investment property * how to make money from investing in property in the UK and overseas by taking the best advice available
Start of article about investing in property.
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On top of this, there are going to be hundreds of thousands of repossession properties and property owners in danger of having their property repossessed trying to obtain a quick sale. In addition to this, recent years have seen a new property animal enter the market place; the sell and rent back property vultures who have been buying properties at a discount and then renting them back to the previous owners. Although most of them have been buying properties at between 75%-85% of the market value, many will now discover that the sellers got the better deal and that these vultures, in fact over paid by buying, albeit at a discount, at the top of the market.
With mortgage rates likely to rise and property prices dropping, these property speculators will be going under big time with many of them owing millions of pounds. When you borrow money and keep remortgaging properties to buy more property like these vultures have done, a slight hike in interest rates and a small drop in property prices and you can discover all you own is a house of cards that can come tumbling down around your ears very quickly.
Even if the Bank of England reduces interest rates in the New Year, it is highly unlikely that the banks will not follow suit in order to try and recoup their sub prime lending losses.
HOW TO INVEST IN A BARGAIN
The secret is to find the right properties, buy them at a good price and then hang on to them until you are ready to sell. You could buy properties for a few thousand pounds less if you hang on but on the other hand, you could end up paying more. This is when, if you are a serious about investing in property our free property finder service can help you find the right type of investment property at the right price.
There are or will be plenty of bargains to be had, but you have to know where to find them, you have to know what the rental market is like for that area or country. You have to know what property prices are doing locally because some properties may appear to be cheap but will in fact be over priced for that area. Most importantly, you must never over expose yourself financially so that if mortgage interest rates rise or you fail to get a tenant quickly, you can always meet the mortgage repayments.
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You have to get your facts right, successful property investment is all about making the right decision at the right time. You are going to make money because other people have made the wrong property investment decisions. Paying too much is not that important if you are planning on holding onto a property for a decade or so. Paying twenty thousand pound over the top for a property will make little difference in the scheme of things if you are making hundreds of thousands over a fifteen year period. It can be disastrous if you find yourself having to sell in a short period of time. So when should you buy investment property?














