Why choose a Buy to Let in Wigan
With popular apartments and flats to rent across Wigan, Wigan is a thriving environment for jobs and transport access, which means people are choosing to live in Wigan and suburbs such as Swinley and Standish, where the growth of flats has risen. For a property developer, the North of the UK is already on your side as housing forecasts already suggest that the North of England already shows housing properties have risen and are set to continue. With this in mind, means housing, apartments and flats make a good long-term investment for property enthusiasts. Long term renting therefore, becomes a opportunity for those who cannot afford to buy a flat and a lucrative market for the likes of a property investor.
People see properties as an better return on investment compared to pensions and other investments. So if property developing is your full time job, business or hobby, here is MHL estate agents guide to buying a flat for investment.
Research the market
No-one has all the questions, but researching the basics can give you a head start. You can divide your search into two parts. The apartment and its cost to get it to market and secondly a field search which would entail questions such as how much competition is in the local market, to evaluations.
Buying a property as a buy-to-let investment means you will be responsible for the apartment for as long as you decide to own the apartment. You may have tenants paying 95% of the bills, but you need to decide how the tenants are looked after and how the property will be managed. There a few laws that landlords need to comply with, and is advised that you know your landlord and tenant rights. This is where a letting agent or sometimes known as a letting management agents comes into property investment. Being a landlord isn’t as easy as some may think, if you are doing this to keep your outgoings down on the apartment, then we ask you to think again. There is no denying in recent years a high-rate savings account would beat most investments, but now rates are lower, lots of people are turning to property development for investment so marketing your property to the right tenants and in the right places can make all the difference to what you see as a profitable investment.
Choose a lettings management company?
If you are considering the possibilities of making your investment work, a letting agent could help kick start your opportunities more quickly. Find out the costs and ask to speak to a number of accounts they manage. This will allow you to see, if you took on a letting company, who can handle all the day to day jobs and look after your tenants, while safeguarding your investment. Being an independent landlord takes a lot of resources and if property development or management isn’t your only priority, you could be risking your tenants experience of living under the agreement of the terms and conditions.
Choose a promising area
You will need to consider your target market and ensure your property applies to families or professionals. Both target markets require different needs in a apartment, so if your property has access to schools or parks or a ground floor garden, your agent might tell you that the property should be refurbished to appeal to families as a checklist like this will be on the wish list of families rather than professionals.
Do your calculations
After you have viewed a pocket of apartments in your target area, it is time to do some maths and calculate how much you require to pay the mortgage, expect to see in income and how much for refurbishment costs. Typically, buy to let lenders expect to receive 125% over the mortgage repayments with 25% deposits.
Choose a reassuring Mortgage Broker
You will need mortgage advice and speak to them directly about arranging a buy to let mortgage. It is important you seek the right advice. The Mortgage Advice Bureau works in partnership with MHL estate agents helping to advise, tailored to your needs.
How low can you get as an asking price
As a potential business owner, the golden rule is keep every cost as low as possible. With your home buyers survey, you can use this to your advantage to haggle the asking price which can be used to your advantage to justify problems the apartment has and need fixing.