Should I be investing close to home?
We speak to crew about property investment every single day and some of the same questions come up all the time.
"Where should I be investing?" is, understandably, the one we hear the most. Our answer . . . "always invest with your head, not your heart".
A lot of new investors feel more comfortable buying property in an area that they know, maybe close to home where they grew up or in the city they studied at University but this is NOT always a good idea.
Unless you intend on self-managing your investment property (which is almost impossible to do from a yacht), or you just happen to come from an amazing investment city, then it's almost always better to consider a variety of options before buying. We always look at the data before anything else when picking investments, this way, the properties we find stand the best chance of going up in value.
Cities like Liverpool, Manchester and Birmingham have enjoyed significantly higher levels of price growth and rental return in recent years compared to cities in the South. Property in the Midlands and North are also on average much cheaper, meaning they're far more accessible to new investors with varying budgets.
At the time of writing city house price growth is at a two-year high in the UK, at 3.9%. But not all cities are born equally. Take a look at the 12 month average house price increases in the following cities and you might be surprised.
House price growth data isn't the only thing to consider when investing but it's a very good place to start.
If you'd like to talk to one of our team about the best investment locations in the UK, and how we might be able to help you, get in touch, we'd love to hear from you.