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Top 10 tips for investing in property

Property can be one of the best investments you can ever make. However, if you are going to be successful, you need to know what you are doing. This article contains useful tips and information to help you become a discerning investor.

1. Find out the true worth of the property. Ask your estate agent for a list of similar properties in the same area and compare the asking prices. You can also ask for a list of recent selling prices in the area, and then compare this to the asking price.

2. Don’t just look around your local area. It is highly likely that you can earn a greater return elsewhere. Professional investors own properties all across the country, and often all over the world.

3. Decide whether you want to buy to let or sell before you purchase the property. That way, you can start to find prospective tenants or buyers sooner.

4. Know what you want. If you have some idea of the kind of property you intend to buy it will make your search much easier.

5. Check out the location. If you are planning on buying a property in an area where hardly any houses have been sold or let in the past year, it is unlikely you will get a good return.

6. Once you have a property in mind, arrange a viewing. Bring along someone who can advise you on aspects of the property that may need additional investment. For example, an outdated electrical system may need rewiring.

7. Once you have had the property fully surveyed and are sure you know of any defects, evaluate whether or not you can afford to pay for the work to be done. You can’t rent out a house that is not proven to be safe to live in.

8. Make sure you have enough money saved back in case there is an unexpected problem with the property if you are planning on buying to let.

9. Write a business plan. If you plan out what you are going to spend where, and how long you are going to take to perform certain tasks, your life will be a lot easier when it comes to doing up the property.

10. Identify the least expensive improvements that add the most value to the property! Even simple things like repainting a few rooms can add value to a house, so don’t overlook anything.