Interested to find out more about property investment in 2021? Wondering whether it is worth looking into as opposed to some of the other investment methods out there currently? To help get you inspired in taking the next steps in your investment journey, here are 3 key benefits of property investment in 2021, and why you should consider it in your property portfolio if you have the necessary capital. Read on to find out more!
1 – It’s a typically long-standing and secure investment
One of the primary and key reasons that people invest in property is because of its strength and consistency as opposed to more volatile and dangerous investment markets. Property prices offer gradual growth, forming a nice bolster and backbone to any portfolio.
That isn’t to say, of course, that some markets aren’t better than others, and so you must ensure that when looking to invest, you put your capital into an area that is due to grow in the years to come – securing house price growth – and that there is suitable demand in the area if renting out the property to tenants – ensuring a consistent rental yield payment.
Tip – Of course, it’s always good to have a diverse investment portfolio with many different asset types, but if satisfied with a property venture you can always diversify in terms of property type and location. For example, you might decide to have a city-centre apartment in an up-and-coming city, as well as a larger property in a more rural, established area.
2 – It’s easier than ever to invest
With the pandemic still ongoing, and many of us stuck inside our homes as a result, you might think that investing in the property market would be difficult at the moment. With property being a physical investment strategy, many investors want to look over their prospective investment before going ahead. However, despite some general economic instability, the property market has still thrived throughout 2020 and into 2021, with plenty of opportunities available in key cities such as Liverpool and Manchester, and by leveraging technology some forward-thinking companies have ensured that savvy investors don’t have to miss out.
Using the same tech-based strategy that allows international investors to get involved with the UK market remotely, award-winning company RWinvest give their investors the chance to use VR technology to look at their investments, alongside a range of other materials such as guides, videos, podcasts and even screen share meetings. Using theses sorts of technological developments to your advantage, it’s easier than ever to make a sound decision on your investment, even from afar.
3 – It can be a hands-off strategy
Got enough on with work already and can’t afford to allocate any additional time to an investment strategy? Buy to let property investment can be a great way of earning passive income completely hands-off. Again, if investing in an apartment, for example, many developments appoint dedicated management companies to deal with tenanting the building and dealing with the day to day issues, leaving you to simply collect your rental yield income and then allocate it towards your next strategy.