Bricks and mortar are almost always a good investment.
Property increases in value each year, and people will always need places to live. But there’s more than one way to skin a cat- and more than one way to earn money with houses. Whether you have a little money or a lot- here are some ideas for making cash with property.
Buying cheap, renovating and then selling on for a profit is a great way to make money from property. If you have the money up front to purchase houses, it’s a quick way to turn a sum of money into a lot more if you know what you’re doing. You need access to a team of tradesmen who are reliable and trustworthy, you also need an understanding of the property market.
For example, you will need to know what buyers in certain areas want, you’ll need to know about how ceiling prices can limit you in some places and the effects of peaks and troughs in the property market. You could read this guide to flipping houses to give you a general understanding, but do plenty of research and be sure you know what you’re getting into before going ahead.
Instead of buying old properties, doing them up and selling them on- another option would be to become a developer and build them from scratch.
This can actually work out cheaper and means you avoid issues like pests, asbestos rot and other costly problems old houses can have. Local councils are often keen for developers to build on unused areas of land in towns and cities, as it helps to regenerate the area and provides more housing for residents.
Become a landlord
If you don’t want to sell on the properties you renovate, you could rent them instead. While this won’t raise quick cash in the short term, it’s a great longer-term investment. You could build an empire and have money going into your account each month with no extra work by you.
If you get the right tenants, they will look after the property and live there for years. You could hire an estate agent to run everything for you meaning it would be no work for you. Even if you’re not a property tycoon with lots of money and houses, you could take out a buy to let mortgage and essentially your tenant would pay this off every month with their rent.
You could even buy a house and charge rent for it, and then live somewhere cheaper yourself.
Another option would be to become a live-in landlord and rent out a room in your home. Tenants pay well for rooms in well-maintained homes so it could be a fantastic way to earn some extra money. If your tenant works or studies full time, you’d probably hardly even see them.
Are you planning on making money in bricks and mortar? Which of these options would you consider?