Is the Real Estate Market Worthy of Investment?

    Is the Real Estate Market Worthy of Investment?

    As anyone who keeps their fingers on the pulse of the British economy can testify, the real estate market is currently facing an extremely challenging time. Dominated by the nations’ capital London, it has faced an entire quarter of sluggish growth after nearly a year of expansion and considerable success. This is now set to reach a peak, with London’s so-called ‘super prime’ property market set to crash.

    This is according to Market Oracle, which claims that an ongoing slumpin oil prices has been the primary trigger for falling real estate value in the capital. This has impacted on the level of high-end foreign investment, with the result that there is less money entering the market and driving growth. With this trend set to continue into 2015, the market may be primed to crash.

    Is the Real Estate Market a Worthy Investment Opportunity?

    With this in mind, it would be reasonable to assume that the real estate market should be avoided by investors at all costs. This is a false perception, however, as there are different aspects of the market and alternative grades of investment that offer various opportunities. Take the distinct commercial and residential markets, for example, as while the latter has prospered in the city the former has suffered in the wake of an external economic downturn. In addition to this, there are also differentiators that make a significant difference in terms of viability and returns.

    Take the ‘buy-to-let’ market, for example, which is continuing to evolve in the wake of a continually evolving demand for rental properties. After the value of London real estate soared to unsustainable heights, many aspiring buyers were priced out of the market and forced to consider alternative options. More specifically, they enter the rental market and look to bide their time until property values become more obtainable. This has created an opportunity for private landlords to invest in properties and rent them out on long-term contracts, generating a recurring, monthly income in the process.

    The Last Word

    On a similar note, many landlords are now taking the proactive step of investing in affordable, larger properties and maximising the space to create multiple units. Essentially, you could purchase a five bedroom home in a less affluent part of the capital and remodel this slightly into single studio apartments. Ideal for the young professional and student markets, this will drive a high level of demand and interest for your properties.

    For further information, click here to unlock the London real estate market and compare pricing in specific regions. This will give you an idea of the capital needed to enter the marketplace, while also providing you with the opportunity to calculate pricing and forecast your potential profit. 

    No comments:

    Post a Comment


    air curtain Air Duct Architecture asbestos risk in Home Improvement works Atrium Attic Design Baby Home Bathroom Bedroom brick oven Calling a Electrician carpet carpet and flooring trends Carpet Cleaning Christmas Decorating Tips Christmas Special cushions Damp and Mould decorate your trees dehumidifier Dining room Dispose Trash DIY DIY Decor Ideas Nursery DIY drawer pulls DIY safety Doodle Decorating Door Electrical Appliances Electrician fairy garden Family and Personal Farmer sinks Fire pit Fireplace Flooring Furniture Garage Garden seating Gardening Green hardwood floors sun damage Healthy Home Improvement Home Decor Home Decor on Budget Home Improvement Home Improvement Infographic Home Investment Home Renovation Home Security home’s curb appeal House Painting Infographic Install Awnings Insurance Tips Interior Design Kitchen kitchen countertops Lantern LED lighting LED lights Lighting LOVE Maple Kitchen Cabinets mat spring floor Mesothelioma Mini Digger Mom's Review mould cleaners Move House Nursery pom poms Oak Flooring outdoor lights outdoor party lights Packaging Paper dot mobile Paving Pet Plant in pots Plumbing Press Release Prolectrix Soup Maker Protect hardwood flooring Real Estate remodel fireplace Roof Rugs Self Storage Snake a Drain solar lighting Solar Panel solve damp problems soundproofing Style your home Suspender curtains Swimming Pool throws Tile Twitter uk home improvements Useful Ventilation Warm in Winter Water System white washing brick Wholesale Bathroom Vanities Wooden Workbench

    Blogger Club Uk

    My Random Musings

    #16 in Top List Feedspot

    #16 in Top List Feedspot

    Handymanpoint's Top List

    Handymanpoint's Top List