Date Published 01 September 2018
Is property still a good investment?
With the changing economy and uncertainty over Brexit and how this could affect property prices, many people are reconsidering the question...is property still a good investment?
There are many ways to invest money, including in stocks and shares, antiques, classic cars, digital currency and land/property. We believe property is still the best and most reliable way to invest long term. (And we're not just saying that because we sell property!)
Why?
1. Property prices, on the whole, will always rise. Ever since the dawn of time, house prices values have increased. The average price of a Bournemouth property rose by 34% in the last 10 years from an average £224,000 to approx £300,000.*
Let's be honest, there may be times when prices dip because of financial instability or recession, but after a while they always recover and start rising again. It's a given. When you want to move on, wait till the right time and sell for a profit.
2. Potential rental income is one of the biggest benefits to investing in property. When your investment turns a profit every month by renting it to a tenant, you are effectively making money and paying your mortgage off at the same time. If you bought with cash, then the rental income received, minus any service charges or costs/taxes associated with letting, will be pure profit – freeing you to invest in further property, like many of our landlords do, or spend as you wish.
3. It's a positive step on the property ladder. Buying a property, especially in the ever developing town of Bournemouth, could be useful for your future. For example, if you ever wanted to retire by the seaside or needed to move from your current home, then you have the security in knowing another property is waiting for you. A second property could also be used as a holiday home and then rented out during the winter months. A property investment is a future opportunity waiting to happen.
If you are thinking of investing in a property in Bournemouth or surrounding areas like Poole or Christchurch, we are more than happy to offer advice and guidance. Julian and Nick, partners at Fahren Estate Agents welcome your call or email.
Phone: 01202 551022
Email: nick@fahren.co.uk or email julian@fahren.co.uk
Visit Us: 170 Old Christchurch Road, Bournemouth BH1 1NU
(2008-2018 figures from Hometrack) https://www.hometrack.com/uk/insight/uk-cities-house-price-index/july-2018-cities-index
