It would be foolish to ignore every opinion or piece of advice that people give you, you might learn something from someone else’s experience. However, they are not necessarily right and just because one person had a bad experience doesn’t mean you have to follow in their footsteps or make the same mistakes.
Halifax House Price Index reports have seen an annual drop in house prices by some 2.1%25 across the Uk. This is not a sign of a good investment for the most part! Other reports show the sales of homes could fall by 20%25 in 2008, another warning sign that homes may not be the strongest investment at the moment.
There are likewise those who make up one’s mind to get partners as they turn out to be well established. This requires long and careful pondering. In the event you do want a partner, you should select 1 who can lead things that you do not have. Restrict it to one deal at the beginning and if you see any benefit, you can carry on the partnership.
I can see how it happens – many people just fall into property investment. They haven’t been able to sell their house for the price they wanted so they rent it out and hey presto they’re landlords and dare I say property investors. As you can probably guess you can’t duplicate that process because not many people have numerous houses they’ve been living in.
Have a good think about what your requirements are for the land and plot you wish to purchase. If you are a keen gardener then perhaps you will consider buying a plot that is large enough to keep a good sized garden. Towns and city areas normally have a higher availability and choice when it comes to property investing.
Property investors are also offered great tax benefits. All expenses for the house are tax deductible. Furthermore, if you are unable to get a tenant and your house was bought on loan, meaning you have to make mortgage payments, your property will not be taxed for that year. Moreover, if the value o maintenance and repairs exceed the amount the property is bringing in, then you are also exempt from paying taxes for that year.
You need someone who understands you and your history and is close enough to you to be kind, supportive and yet brutally honest. It is best if they are also an experienced investor, businessperson or property developer. If possible also join an online or face to face group of property developers to brain-storm ideas, facts and figures. Do not go it alone.