If you’re a new entrant to the UK housing market, it can be tricky knowing where to begin in the current climate – with the cost of monthly rent rising at a record-breaking rate and the average 10pc deposit standing at a whopping £22,493, first-time buyers in the UK are faced with a turbulent property market that’s subject to more frequent and dramatic fluctuation than ever before. Similarly, existing homeowners looking to expand their portfolio of properties may be apprehensive about the uncertain state of the market, in which average house prices have recently increased by 12.8%. Luckily, it’s not all doom and gloom if you’re a UK buyer – take a look at 4 steps you can take to expand your property portfolio in 2022:

Develop a Long-Term Property Plan

The first step in expanding your portfolio is developing a long-term property plan, which is tailored to suit your ultimate goals. Whether you’re looking to benefit from rising property prices in a future sale, secure income through rental payments or just procure a new living space, it’s essential that you plan accordingly. Once your long-term goal is established, start researching your niche by liaising with estate and letting agents, investigating the best markets and property portals in your vicinity and budgeting or saving the necessary funds.

Keep a Close eye on new Houses in Your Area

By keeping your ear close to the ground and staying up to date with fresh developments and new houses in your local area, you could significantly increase your chances of snaffling a relative bargain. While they can be more competitive, local markets tend to be less oversaturated with prospective buyers than major urban zones – you can also make use of your local knowledge to assess value, identify market trends and compare local properties to those in neighbouring areas – this should enable you to find the best deals both home and away.

Consider your Target Tenant Demographic When Investing

If you’re buying a property to let, it’s essential that you consider your target demographic before investing. For instance, if you’re aiming to rent out your property to students, it would be less fruitful to invest in a property that’s located far away from local universities. Similarly, you can use the natural demographics of your area to your advantage – if your market is located close to a major tourist hotspot, you may consider focussing on short-term lets for visitors.  

Prioritise your Current Tenants

One of the worst things you can do as an existing landlord looking to expand their portfolio is to neglect your current tenants. Ensure that you remain accessible and easy to contact and that any household maintenance issues are quickly resolved – you have a legal duty to provide a safe and proper environment for your tenants, and happy tenants are much more likely to stay for longer and reliably pay their rent.

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