Little Things To Check Before Putting Your Money Into Property

Putting your money into a property can seem like a great idea. After all, prices tend to rise where we live. 

But you still need to be careful. Buying a property isn’t always a straightforward process. You need to make sure you get everything right and that it is in order. 

That’s what we discuss in this article. We look at some of the little things you need to consider before buying a property and how they all stack up. 

Budget 

The first thing you’ll want to do is to consider your budget. You’ll need to confirm the cost of the entire project, not just the list price of the property itself. For example, you need to think about Stamp Duty, legal fees and any survey costs associated with the home. You should also think about mortgage eligibility. Hopefully, you will be eligible for the mortgage you want, but this becomes more challenging as you invest in a larger number of properties, since your risk is higher. 

Deeds

You should also go through the Land Registry Deeds to see the current state of play (or get your solicitor to do it for you). You’ll need to check these thoroughly to ensure that the property has a proper title and that you can move forward with it. 

Sometimes, there will be ambiguity. If there is, then you need to resolve this somehow before you proceed with a purchase. 

Property Condition

The condition of the property is also worth considering, especially if you intend to live in it. You can better know the condition by arranging a professional survey. For example, you could use a RICS HomeBuyer Report or Building Survey. 

It’s okay if the property is in a poor condition, as long as the price reflects that fact. What you don’t want is a situation where you’re paying a premium for a property that is going to cost you a lot of money to repair in the long-term. 

Make sure you check for things like damp and subsidence. These issues are the most challenging to fix because they link to the actual structure of the building. 

Market Trends

What about market trends? We recommend thinking about those, too. You want to know how the property is going to perform in the future. 

These days, there are excellent data on this in places like the UK. Rightmove and other platforms collect house price information and provide tools to analyse it, giving you an idea of what might happen in the future. 

Rental yields are also important. You want to ensure that you’re really making money if you decide to rent out a property. You’ll want to aim for somewhere between 5 and 8% if you can. 

Location

Finally, take a look at the location. The best properties are often those that are built in advance of major infrastructure development. For example, properties that were built next to the new Elizabeth Line in London are now worth a lot more than they were ten years ago. 

See more property-related posts here

Becky

Meet the award-nominated UK lifestyle blogger behind Spirited Puddle Jumper – a mum of three living in South East London! Becky shares the real ups and downs of family life, parenting tips, and lifestyle inspiration, proving that being a mum doesn’t mean you stop being fun or having other interests! Follow along for honest insights into UK family life and opinions on a whole range of topics, from travel and food, to beauty reviews, home and DIY, business and health and wellness.