29th May 2007
The stress of Buy-to-let – Is it getting to you too?
New research from property investment experts, Imagine Homes today reveals the UK’s top five Buy-to-Let concerns. Over 4,000 investors were polled by Imagine Homes in order to highlight the factors that cause the most stress for property investors in the UK.
With a massive 36.3 per cent of the vote, ‘finding the right property’ has proved to be the greatest challenge when it comes to property investment. ‘Rental voids’, ‘finding tenants’, ‘furnishing the property’ and ‘managing the property’ follow behind to make up the top five:
1) Finding the Right Property (36.3%)
Finding the right property is an exhausting and time-consuming experience. It’s essential that investors get into the mind set of the tenants they are targeting and find a property that fulfils all their needs. What’s more, deciding to invest means parting with a substantial sum of money and so the pressure really is on to find the ‘right’ property for your tenant – so it’s no wonder this concern has hit the top spot.
2) Rental Voids (16.8%)
You’ve found the right property, but can you be sure there’ll always be someone living in it to cover your costs? Rental voids have proven to be a prime concern for investors and with the worry of covering mortgage payments, bills and associated charges; it’s easy to see why.
3) Finding Tenants (16.3%)
Reliable tenants are often hard to come by and it’s imperative that you or a letting agent find someone you can really trust to look after your biggest investment. Relying on a stranger to ensure value is not lost on your property is why this concern has made the top three.
4) Furnishing the Property (15.8%)
A quality apartment deserves new, contemporary, durable furniture - something tenants have come to expect. Furnishing an apartment to attract potential tenants is worthwhile – it is well known that furnished apartments rent that much quicker. But furnishing an apartment is a time-consuming exercise and since time is something many investors are lacking, it’s not surprising this concern has come straight in at number four.
5) Managing the Property (14.8%)
A phone call in the early hours about a burst water pipe is not the way any investor wants to be disturbed from a good night’s sleep. Worrying about the property and tenants is constant – chasing for rent and paying hefty maintenance bills has helped this concern take a well-deserved place in the top five.
If that’s just about put you off buy-to-let for good, take a look at Imagine Homes. They’ve revolutionised the property investment industry by offering the perfect solution to all your buy-to-let concerns. Imagine Homes does all the leg work for you, from finding and managing the property and tenants to sourcing the furnishings.
Investors purchase an off-plan property from Imagine Homes with the agreement that they will rent it back to them for the first two years. In return, investors receive two years’ guaranteed rental income at 15% of the purchase price, payable monthly in arrears.
Grant Bovey, CEO of Imagine Homes, commented: “At Imagine Homes we understand that investing in property can be a stressful experience and this survey has given us an even greater insight into exactly what factors are causing investors the most concern. The Imagine Homes concept was created to alleviate all of these concerns by providing the opportunity to invest in property in a hassle-free way.”