Comparing Property investments vs stock markets is that property investments perform better than stock markets. If you had purchased an average value property around 50 plus years ago your capital growth today would be 5 times the amount than what an investment in shares would have grown by.
When you invest in property:
- The rental yield is higher than that of dividend yield on stocks/shares
- You can benefit from Tax to reduce your income tax liability.
- The advantage in property investment is that you can benefit from gearing- and make money from profits.
- Like most people, you won’t know where to look for investment opportunities and will end up going to a financial advisor, who will advise you the stock market. In this instance you will miss out on the benefits of investing in buy to let property.
There are four main benefits of working with a property investment company.
1. Early exposure to property investment opportunities
When working with a property investment company that has links with developers, you will get opportunism to invest in off plan property at an early stage. Developers normally have a public launch when they offer investors off plan properties, however property investment companies get an earlier opportunity- this is where the money is made as pre-launch sales can offer great investment potentials.
As a property investor, you will make more profit by being a negotiator. Both companies are expert at negotiating techniques, and both have the benefit of negotiating on multiple properties. As an individual, the discount you can get on negotiate on a single property will be lower.
With all investments, the long-term profits depend on buying the best properties. A property investment company has a team of researchers who buy and sell properties. You have to place your trust in them, for them trusting you to know how they make investment decisions.
A property investment company that looks to educate its clients is open about its research. It will normally show you how to do your research. With all its property investments, you will know why it makes sense to buy/invest. The best investment companies will offer the research to you free of charge, which saves you time and effort and gives you a real basis on which to make investment decisions.
4. Trusted professional advice
You will need to partner up with professionals to make sure that the investment process runs smoothly. A solicitor will ensure that everything is going through. A mortgage advisor will make sure you get the cheapest and best rates – which will have a significant impact on the returns.
When partnering up with a property investment company, you will gain your knowledge of property investment. You will also learn off their expertise, access their research and take advantage of the early opportunities – they negotiate with developers.
Get in touch with Nova Financial today and see how our clients benefit from all the advantages and more when they work with us.