There are still profits to be made on property in 2021, you just need some clever tricks and tips up your sleeve. When starting your property search, make sure you look for properties that have the opportunity for interior updates, extensions or even the possibility of adding a garden room. This will ensure that you'll maximise profits when re-selling or putting it back on the rental market.
5 Easy Ways to Maximise Property Profits:
1. Consider buying a plot of land. This is a sure-fire way to make plenty of profit on a new build. When looking for plots, check if it already has planning permission. If so, can you amend or improve it? Which build density will offer the highest return – houses or flats? Think carefully about the best use of space and future returns as maximising potential before purchase means maximising overall profits in the long term. Search Repolist's selection of plots today.
2. Buy a house with the potential to convert into an HMO. Multiple renters means multiple income streams. Look for large properties that can be easily converted at a low cost. When converting houses to HMOs you'll need to follow strict guidance and make sure all the checks are in place before renting it out to tenants. Buying property in areas popular with students is a great option for shrewd property developers who want a year-round rental income.
3. Convert commercial or agricultural property into a residential conversion. This could provide impressive returns in the long-run. This used to be a popular option for developers and investors looking to get the most out of a change of use. Although the market has slowed a little, it's still worth considering if this is a viable option when searching for property.
4. Always look for property with the potential to add extra rooms: an extension, loft conversion or a garden room. Garden rooms have become increasingly popular over the years, especially since more people are now working from home. Look for the potential in the property and do your homework. What's the ceiling price on the street, how much do the larger houses sell and rent for? Don't blow the budget when adding extra rooms or spaces as you may struggle to get your investment back.
5. Find a house with a large garden. The best property opportunities on the market right now – and as a result, some of the hardest properties to find – are houses with big gardens. Put in a successful planning application and it should allow you to build a second property on the plot that you can then sell on or rent out. It might be that it had perviously been granted planning permission for development, so chek this when buying.
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