|
Back to articles
Property investments are a sensible form of investment, whether it is residential or non-residential property, there are many benefits including capital growth. And for many people, including millionaires, property has been the route to their wealth. At Sirius Property we truly believe in property investment and its ability to earn people money without them having even the right training or education. So we have provided prospective new property investors a general guide to this industry.
- Purchasing a home is most often the first investment people make, but this need not necessarily be the case. Instead you could first buy a smaller place like an apartment for rental purposes and use those accumulated funds to purchase your own place in an area you really like.
- There are a lot of people that are investing in non-residential property via property trusts and syndicates.
- Property investments have many attractions, sensible ones I might add. It tends to be less volatile than shares although it is not always the case. However it is generally regarded as a safe haven when other assets are declining in value.
- There is the lucrative advantage of capital growth returns, an increase in the value of the property (the asset) as well as rental income. There is also tax advantage such as depreciation allowances which allows you to claim depreciation on the wear and tear of the property which can be deducted from tax.
- Just like anything in life and any other investments there are no guarantees. Property prices fluctuate and so does the interest rate. Sometimes it can also be very hard to find the right tenants, those who pay on time and take care of your investment.
- Investors need to have a keen awareness of the interest rate environment as it affects your expected net return and of course the market should you wish to sell the property.
- Before investing into property you need to make sure that the return is more than you would have received by investing in other assets like shares.
- You don’t only have to invest in property directly. There is the option of pooling your funds with other investors in managed funds with a property focus. Listed property trusts and syndicates have a wider range of property including commercial, retail and industrial as well as residential of which a smaller investment is often required.
Are you new to the industry and would like a professional to assist you in setting up your property portfolio and manage it for you? Then contact Sirius Property to guide along the route of property investments.
Back to articles
|