How to increase your property investment returns and…
understand the impact of achieving a higher return on your real estate investments?
In the UK the outlook for residential property is for fairly poor yields for the foreseeable future and likely capital appreciation is limited if stable.By broadening your investments, through selling or remortgaging your existing UK property with the aim of achieving a 30% per year return on your money, what would kind of returns could you generate? Putting aside the taxation implications, which would apply to any standard investment, the value increase is probably more than you think…….
In the short term
If you were to invest £10,000 for 3 years at a 30% per year return, the value of your investment would potential generate the following increases:
| Percentage Increase | Value | |
| 1 year | 30% | £13,000 |
| 1 year | 69% | £16,900 |
| 1 year | 120% | £21,970 |
Do you expect your UK investments to increase by this amount? If not, why not spread your investments into more active property markets and in turn spread your risk and improve your opportunity for a greater return.
Over the longer term
Suppose you invested at 30% per year but this time had access to a continuing set of projects that meant that you maintain that investment level every year for 10 years then compare that to achieving 5% for the same period…
| At 5% per year | At 30% per year | |
| At the outset | £10,000 | £10,000 |
| After one year | £10,500 | £13,000 |
| After 10 years | £16,289 | £137,858 |
Do the figures yourself ! Now isn’t that worth considering as part of your property investment portfolio?
4 you Property work with projects that offer yield returns from 20% to 50% annually by sharing in developers profits who are actively constructing in the real estate markets of countries that have joined/are set to join the EU (Croatia, Bulgaria, Romania and Montenegro) in addition to involvement in UK based Affordable Home new developments. Instead of buying a property abroad through an overseas agent, you invest with 4Property in the purchasing the land whilst the developer funds construction from off plan sales. This method offers a good gearing ratio and at the very least, is worth a serious look.
4:you Property Partners offers keen property investors an alternative opportunity to joint venture and co-share in development profits in a range of active property markets and build a personal property portfolio. For more information on how to invest contact 4 Property on 0800 040 7904 or on email at invest@4you.uk.com
