Property Investment: 3 Expectations vs Reality

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Think you know the basics of property investment? Think again. 
Here are four common mistakes people make when starting out. 

Expectation: You need to buy a property that you would be willing to live in yourself. 
Reality: You need to focus on the fundamentals and where you can make some money. 

If you’re purchasing a buy-to-let investment, you won’t live there. Counterintuitively, often the best places to invest are not necessarily the most popular places. These are the areas undergoing regeneration and improvements to infrastructure, which will drive up value. 

When looking at some of the less-desirable areas that IP Global has invested in over the years, there’s no question that they have performed the best in terms of price growth. Islington was one of the first London boroughs we identified for investment. It was a very undesirable location that is now popular with young professionals due to its proximity to Old Street. Many people were hesitant to invest there but our clients who did have now made staggering returns. For example, one of our three developments in the area, Pegaso Building, has achieved an average increase of 171.28% since launch in 2009. 

So, it is essential that you try to focus solely on the numbers and remember that this is purely an investment decision rather than a place you might end up living in.