Many budding property investors have the desire, will and funds to invest with, but don’t necessarily know if their prospective property investment will be compatible with their job. The truth is, if you go about investing in the right kind of hands-off property, then it’s perfectly possible to maintain your occupation without it hindering your property investment goals.
In today’s article, I will outline exactly what is required to pursue your career goals whilst maintaining a successful, hands-off UK property portfolio.
Two forms of income
The most obvious benefit of continuing to work whilst owning a property investment is that it provides you with more income on a regular basis. This is essential for saving money in which to put back into more property investments to build up your UK property portfolio. One form of income can maintain your lifestyle and pay the bills, whilst the other can go straight into your savings account for investing in more properties.
A hands-off approach
With regards to purchasing property investments, I’ve spoken with many first-time UK property investors that are under the misapprehension that they need to dedicate all of their time towards managing and maintaining their portfolios. This is not the case- in fact, many of the clients we’ve helped start or expand their portfolios take a completely hands-off role towards managing their property investment.
They do this by employing experienced lettings companies local to the property to handle the day-to-day running of everything. Collecting rent in which to pay you, dealing with potential maintenance and repair issues, finding new tenants and dealing with void periods etc.
By taking a hands-off role, this enables you as the investor to kick back and earn money without doing anything towards the upkeep of your property. Sure, you pay a fee to the company every month for the service. But many are happy to pay it for peace of mind they provide, and with two incomes rolling in from your job and property investment, it’s a small price you can afford to pay.
More free time towards finding future purchases
If you quit your job and dedicate all of your time towards managing your own property investments, you may find that this requires much of your downtime towards dealing with trivial issues like faulty boilers or leaky taps. At least with your job (or most jobs!) you finish at a certain time and are able to spend your free time identifying the UK property markets and where to make your next property investment purchases accordingly.
With more leisure time as a result of your property being managed for you, this is time that can go towards locating the best property hotspots and hands-off property investments across the UK.
Better chance of securing lending
Most lenders don’t consider income from properties towards the requirements necessary to obtain a mortgage. Because of this, it’s actually prudent to remain in your job so that the income produced not only gives you additional funds, but also because you’re more likely to receive the necessary lending to purchase UK property investments.
It isn’t impossible to secure a mortgage based on this criterion alone but having a dependable source of income will greatly enhance your chances so that you don’t have to undergo a painstakingly long search scouring the markets to get financing at bad rates.
Your job may aid you with regards to UK property investment
I’m not just referring to the money your job provides here either. Your occupation may give you an insight into how UK property is faring or how the purchase process works. For example, those who work in the business sector may know the legal process of purchasing a Buy to Let property with regards to conveyancing. A construction manager will know what is required to refurbish potential property investments because they do it as part of their job. I myself work in property of course, and my experiences here at Tarquin Jones will prove invaluable when I save up enough money to invest myself!
Your job may not overlap with giving you an insight into how property investment works. But the people you work with may be like you- aspiring first-time investors saving up for a hands-off UK property investment. You may pool your resources with them in order to invest together and obtain property of a higher value than you would by yourself. This can lead to profitable partnerships- both the directors here at Tarquin Jones for example worked together by chance years ago and formed this company together as a result.
Of course, there are advantages to focusing solely on property, and it came come down to personal preference as to what’s best for you and your property investment goals. It’s worth pointing out though that it is more than possible to continue your chosen career path whilst balancing a hands-off UK property portfolio that won’t impact your day-to-day life.
Our Investments page contains all the information on the latest Tarquin Jones property investments. Please give us a call on 0208 445 6542 or email us at firstname.lastname@example.org to inquire with us directly regarding any of them.