Investing in property as an asset has become a more popular and prominent way to seek out returns than ever before. But as more people than ever before look to get a foot in the door of the real estate market, it’s important to remember that success in this area is not as easy as simply buying a home and waiting for the money to come flooding in.
Attracting tenants or buyers, it almost goes without saying, is the key to finding strong returns, either through rental income or capital returns.
If your property is popular in the rental market, for example, you’ll see fewer void periods and can command far higher rental rates than you otherwise could, maximising your income. Getting this right means making sure you know what tenants want.
These buy-to-let apartments in Manchester from Experience Invest are a perfect example of this point.
According to research recently published by My Home Move, there are a variety of factors that play into people’s decision to move into a home, but whether buying or renting, nothing is more important than the location of a home.
More than half (58 per cent) of those surveyed by the company said their main reason for falling in love with a property is its location, bringing it in ahead of prices, which had 38 per cent of people’s attention, and the garden (29 per cent).
Breaking down the location figures further, the main concern of people looking to find somewhere to live is the transport options available near their property. This can be particularly important in the rental market, which has become more young-professional-centric than it has been before in the last few years, particularly in cities such as Manchester, Leeds and Liverpool, where new business opportunities have helped spark a real climb in younger tenants from the so-called ‘generation rent’.
Some 40 per cent of people surveyed said the transport links available nearby would play into their decision to choose a home, while 35 per cent said having access to attractive green areas was important and 32 per cent said proximity to shops, cafes and restaurants was something they looked for.
And as much as the right location can make or break your property investment, the research also showed that the wrong location can have a real detrimental effect. As many as 43 per cent of people indicated they would be turned away from a home because of its location, more than other factors such as the price and appearance.