There’s plenty of money to be earned in property, whether you want to rent out homes, renovate them or completely build from scratch. When you think of making money from property, it’s usually flipping houses, or renting them out that springs to mind. But it’s not the only way to earn a living from bricks and mortar. You could become a developer, be a silent investor or even rent out a room in your own home. Whichever route you decide to go down, here’s how you can maximise your chances of success.
Decide what you want to do with property
With so many different routes to take, your first step is to decide what is the best path for you. If you have an abundance of money, perhaps from successful previous businesses or an inheritance then buying and selling could be a good option. If you have less money to play with, things like buy to let mortgages and other routes would be your way in.
Get a relevant qualification
Education is everything, having knowledge on any subject that you intend to invest money into is important and property is no different. On top of this, you could also train in a trade such as carpentry, electrics, plumbing if you want to do some work on the properties you invest in yourself.
There are lots of different tasks involved with developing, building and renovating properties, so if you can take on any of these roles yourself then you’ll save yourself a lot of money compared with hiring an outside tradesperson. You’ll need to know what kind of market different properties will appeal to, and therefore how to present each property. If you’re going to rent, you’ll need to know what yours and your tenants rights are, and how to prevent things like damage being made to the home.
When you’re renting a property, there are a number of legal requirements you’ll need to follow such as getting an annual gas safety certificate, and having smoke alarms on every floor. More on the legal side, you’ll need to understand estate planning too to make sure your properties go to the people you want them too once you pass away. While with anything it’s possible to learn as you go along, having a good education and understanding of property law and the market beforehand is always going to go in your favour.
Use an agent
While there will be fees for having agents manage properties for you, it can often save you on cash in the long run. They will deal with the security deposit, making sure it’s being stored according to the law, they’ll do the background checks on clients and deal with them day to day rather than this being left to you.
If you work another job around renting properties, speaking to your tenants and sorting problems in the timeliest manner may not be possible. If you own lots of properties, this can be a much easier way to manage things too instead of trying to keep up with everything by yourself.
What would be your ideal way to earn money with property?
PS Hope this was informational ?!
Popular posts on Bag of Cents: