13:30 PM, 20th May 2014, About 10 years ago 13
I’ve decided to get started with buy-to-lets after a long period of interest but without enough capital.
Borrowing against my home and using savings I’ll have just shy of £100K to invest into deposits.
I’ve been reading Mark Alexander’s advice on capital/debt so plan to retain some of this for rainy day funds rather than go all out, and will be seeking buy-to-let mortgages.
With the referendum in Scotland and economic uncertainties my gut instinct is to buy in areas where property value is most resilient and likely to grow so that I can release equity in a few years to expand and make this full time.
The issue here is that most flats in the prime area that are affordable to me are 1 beds, and have a slightly lower yield than larger, more peripheral properties. Not far outside the city is another university town where property prices are cheap. However, capital appreciation in this area is less likely but yields are higher.
I’d really welcome any suggestions on the best strategy to ensure capital growth/release to build a portfolio – so that I can do this full time.