Houses And Flats As Investments

For the investor, propertypicnic.com offers a one stop resource for finding the ideal investment. Bringing together agents, developers and sellers from around the UK and internationally, complete with comprehensive track records and extensive product ranges mean you get access to the most comprehensive property picnic on the net.

Property investment within the UK is increasing exponentially and greater numbers of investors are adding UK property to their portfolios, a knock on effect is that it is changing the perception of what we think about financial planning.

As an investor you are no doubt aware that in recent years, interest rates and stock market returns have been low. Many investors have started to notice that their home is their highest performing asset. Property still remains the most stable investment and even though recent trends show a drop in value, the long term outcome is very positive. Looking historically we see that the average UK house price in 1964 was £4,500 and in 2006 the average house price was around £205,000.

The question is always, when is the best time to buy? The simple short answer is that there is no right answer. The time to buy can be dependent upon location, condition, market and availability and as such knowing your market is key to making the right decision. The fact still remains however:

• There was a short fall of 49,000 homes and this trend is set to continue
• In 2006 160,000 new homes were built, but 209,000 were required
• Fewer people are unable to get onto the property ladder
• Those who are on the property ladder are struggling with mortgage payments
• The average UK home buyer is paying is £211,000, so they are better of renting, based on a current mortgage repayment of £1,500 for this level of borrowing
• Single rental occupancy is growing because of high divorce rates, but also social- economic

Changes, more asylum seekers, increased life spans and more second homes
As an investor it is essential to understand your market, the demographic of the area you are wishing to invest and ultimately know when a property is over-priced, especially in a saturated market, and how to avoid these properties.
Investing Overseas
Under normal conditions investing in a foreign country can be difficult due to that lack of local knowledge, financial market, government, economy and legislation. With the help of PropertyPicnic.com you can get in depth knowledge to help you to make the right decision. Always do your research and make sure you understand where and what you are buying. Below are some useful tips

• Visit the country
• Speak to local agents and find out both the resale and rental income expected
• Check out the travel arrangements – local airport, highways etc...
• Legal Fees – compared to your home country
• Management Fees
• Tax – How much should you pay and to whom
• Re-sale fees
• Furnished or unfurnished