Investment in residential property offers impressive returns and can be an attractive option for those who are wary of the stock market. In recent years, property has accelerated it’s position as an investment vehicle and is considered by many to remain a sound longer term investment.

The Housing Act of 1988 introduced the Assured Shorthold Tenancy which allows landlords to enter into agreements with tenants, safe in the knowledge that they can regain possession of their property at the end of the agreed term.

A greater proportion of the population are now seeking to rent their properties, particularly as they become more mobile in terms of employment. Projections show that this is a trend which is set to increase further in the future, and as the opportunities for investment landlords have increased, Building Societies and Banks have produced new styles of “Buy to Let” mortgage products to suit such investment landlords.

While some investors prefer to purchase properties from capital reserves, the majority of investors will wish to borrow. This is an easy procedure, by securing a rent which is sufficient to meet the borrowing and other costs. Therefore, a profitable investment can be made by utilising borrowing facilities – a term known as gearing.

A benchmark figure for a profitable yield on a residential investment property is 10 per cent, however, with consideration given to long term increase in equity, a smaller return may well be considered acceptable. Out of this, deductions will have to be made for mortgage repayments, insurance, maintenance costs and letting agents fees.

With care in the selection of the property, returns can be very attractive when taking into account the additional growth in the capital value. Should investment finance be required, most lenders are satisfied if the potential rental income is sufficient to exceed the monthly mortgage repayment. This may require a lower loan to value (LTV) ratio than with a normal residential mortgage.

 Many people are now able to purchase investment property because of the relatively small amount of capital required initially, and even if that sum is not available, it is possible to raise it by releasing some equity already built up in their existing home.

Harbour Properties have now developed a comprehensive package to assist you in all the stages involved in the acquisition of investment property. Firstly, it will assess your particular circumstances and help identify your specific needs. It will then select the correct property or properties to suit those needs and help to introduce competitive and specialist mortgage facilities if required. Should any refurbishment work be required, the company will oversee and administer it for you.

If you are considering investing in residential property and would like any further advice or information, please contact any member of our staff who will be delighted to assist you.

Acquisition of Investment Property.

 We are proud to announce a new and exciting extension to our Property Management Services.

Our new Property Acquisition Service enables the investor to take full advantage of our experience in the residential lettings market. Although firms of estate agents are always willing to recommend properties to the investor, they rarely offer the same level of in-house property management expertise, dedicated to the investment landlord, with the aim of providing a comprehensive and ongoing service level.

Additionally, as an entirely independent property management company, we are impartial to the influence of any particular sales organisation, whereas the “buying agents” within large estate agency businesses, may simply recommend properties which are for sale with the same organisation.

Our acquisition service will:-

·          Target the best properties

·          Identify popular locations ideal for the lettings market

·          Increase your profit by adding value

·          Maximise your rental return

·          Introduce you to a recommended firm of Solicitors

·          Offer independent financial advice

·          Allow access to a full range of insurance products tailored specifically to the rental and buy-to-let market

·          Provide a full property conveyance service including searches

·          Avoid common pitfalls

One of the principal advantages of utilising this service is being able to benefit from our strength in negotiating, as we are well known in the property market on behalf of our clients. As a result of this, many estate agents may be more likely to recommend an offer from ourselves, as an organisation that have a proven track record of performing (i.e. whose clients generally proceed to a swift exchange of contracts).

This service is entirely geared towards benefiting YOU, the landlord, in enabling you to establish a portfolio of quality investment properties that will generate a monthly rental income as well as providing a generally accepted long-term capital growth. Our investment clients tell us that they have an inherent trust in the property market and consider it to be a beneficial alternative to the stock market and pension scheme performances.

 If you are considering becoming an investment landlord, or if you are an existing property investor who would like the support and assistance of an experienced and dedicated team of property professionals, then please let us assist you. Together, we will ensure that you have identified all the criteria relevant to your personal circumstances and have taken advantage of the best available opportunities available to you. Furthermore, that you are satisfied that you have invested in properties that suit YOU, and YOUR particular circumstances.

Please click here to see our service levels and fees