HEART OR HEAD - WHICH ONE RULES WHEN BUYING PROPERTY?
Valentine’s Day in February is the day when LOVE is traditionally in the air, but in the world of property, if you are thinking of making a purchase, should you be ruled by your HEART or your HEAD? Don’t we all want that particular home that we can fall in love with?
For some of us it is very easy to be ‘blown away’ by a property that we’ve viewed. At the first look, we love everything about the property, the space, the colour scheme, the gadgets that is has, for most male buyers for instance, does it have a garage, but should we be thinking more about keeping our feet on the ground and making a decision to buy based on price comparisons with the current market and in particular should we be looking for future price security?
When buying a new home you might base your opinion on the warm feeling that you get when you walk through the door, you might also consider how closely the property is located to good schools or transport links. Your budget might also be a consideration when you think about the price, but you might not take into account the re-sale value of your property in the future. As with all investments, and your property is probably the largest investment that you’ll every make, it’s worth remembering that values can decrease as well as increase.
When buying an investment property to let however, your list of requirements for that property may be different and be based much more on financial and practical issues. Here are a few things that you might want to consider.
· The size of the property…
2 Bedroom Properties as a general rule let faster than larger properties.
· The type of property…
Terraced houses are traditional rental properties, but a semi-detached or detached property
is likely to have a better re-sale value in the future. Also bear in mind that older properties may require more attention with regard to maintenance issues.
· The location of a property….
Transport links and the level of business/industry in an area can make your property more attractive to tenants looking to rent.
· The outside space of a property…
Sometimes even the most conscientious of tenants are not always best at maintaining the outside space. A small or low maintenance garden might be preferred in a rental property.
Off road parking is always a bonus and should help you to achieve a slightly higher rent.
The primary aim of any investor is generally to make money. It is important however not to lose sight of your goal and objectives when buying a property, so always remember to put away those rose coloured spectacles and look at your prospective investment property through the lens of the impartial investor.