Funding options like 100% development finance, bridging loans and investment mortgages are usually provided by companies in development finance UK. Each has its characteristics and appropriation in various property development plans. If you want to enter the property development world, you can start out with investment mortgages. Commercial development finance can be too risky and costly for you. Likewise, 100% development finance is only for developers and investors who are capable of handling the stiff requirement.
By investment mortgages, novice developers have the potential to build property portfolio. But building up property portfolio by investment mortgages is not the only guarantee to a successful property investment career. Most importantly, it is also about knowing how to use investment mortgages wisely.
It’s a fact that property investments have its ups and downs; pros and cons, risks and rewards, all in one setting. And it is true whether the investment comes from residential development finance or commercial development finance or investment mortgages. There are times that your investment looks like it’s moving up, but there are also times as if your whole nest is slipping out of your hands. But still, the hard truth is, there is profit in property.
Securing competitive investment mortgages for your property portfolio can be one way of making huge profits fast only if you follow some helpful rules. These rules may even help you build the portfolio further and may even entitle you to 100% development finance in development projects in the future if you succeed now. In other words, there are large benefits in following these simple rules.
One rule in building property portfolio is to consider locations. You may have heard of this many times, but location has major effect in your property investment. If you’re risking investment mortgages, you need to make a thorough research on places that you want to invest. You should look into the country’s political regime, economy, culture, economic potential, currency, stability, infrastructure, and basically everything that concerns the property development market and it’s potential.
Next to finding the right location, you should ensure the property you’re buying is on prime sites. Be sure that the site is feasible for commercial property. Ensure that the spot is easily accessible to target consumers and that it is what is sought after by the people around it.
Apart from the locations and sites, you need to be sure that the investment mortgage is secured under a reliable development finance UK company. Use the expertise and professionalism of the development finance UK provider to get the needed investment mortgages. If you’re investment is not under secure and stable company in development finance UK, you could end up with a costly mess.
The rules may sound like a cliche or may sound simple but those are the only important rules for you to live by. Once you know this by heart, you will have a promising future in your property investment career.
