Reasons to Invest in Buy-to-Let

iedwards@farnhamconveyancing.com (Ian Edwards) — Wed, 14 Apr 2021 18:34:39 GMT

Property investments are becoming increasingly popular. Discover the benefits of a buy-to-let investment and whether it’s right for you and your money.

Over the last few years, property investments have become increasingly popular. Buy-to-let can be an excellent long term investment; in this blog, we look at some of its benefits for you and your money.

What is Buy-to-Let?

As the name suggests, buy-to-let is the purchase of a property with the aim of letting or renting it out to tenants. A buy-to-let property purchase has similarities but also distinctive differences from a traditional property purchase. When you buy-to-let, you take on a range of different responsibilities. However, buy-to-let is also an increasingly popular investment with good medium to long-term potential.

Stable Investment

It’s worth noting that all investments come with risk. However, compared to other options such as stocks and shares, property investments offer more medium-term stability. Many people prefer tying their money into property, as it offers further peace of mind than having the money in intangible stocks.

Long Term Potential

The immediate gains of buy-to-let investments are often small in comparison to other options. However, if you’re not after a quick boost and prefer a long-term benefit, property is a great choice. It’s a fair assumption that, over the next ten years, property prices will increase. It’s also likely that current rent charges will increase over the coming decade. As a long-term investment, few options offer the stability and consistency of buy-to-let.

Future Property

Another benefit of investing in buy-to-let is the long-term opportunities it provides. While it can be hard to access money tied into a property, having another home available can prove incredibly useful if another residential property is required. It is possible to remortgage a buy-to-let investment into a residential mortgage, which can be beneficial for families if, for example, a child grows up and needs to move out.

Things to Consider Before Investing in Buy-to-Let

As with any monetary investment, there are many things you should consider before purchasing a property. Firstly, property is a significant investment, so make sure you have the required capital. If you’re obtaining a buy-to-let mortgage, consider that you’ll need to keep up repayments, even when the property is tenantless. Buy-to-let is a long-term investment. With significant upfront costs, you might make a loss in the short term, so ensure you have the liquid capital to absorb these additional costs. Additionally, when you rent out a property, you are taking on a range of additional responsibilities. Consider the potential time and monetary costs associated with owning rented property and ensure you have the resources required.

Is a Buy-to-Let Investment Right for Me?

Whether a buy-to-let investment is suitable for you is mainly dependent on what you require from your investments. If you’re looking for a short-term investment with quick returns, other investments are more suited. However, if you are looking for a more secure investment with long-term return potential, buy-to-let is an excellent option. Here at Farnham Conveyancing, we offer a dedicated buy-to-let conveyancing service, which can help make the process of becoming a landlord as smooth as possible. If you want to know how we can help you, contact us today.

The Role of a Conveyancer When Buying Your Home

iedwards@farnhamconveyancing.com (Ian Edwards) — Mon, 12 Apr 2021 19:58:10 GMT

Buying your home can be an exciting time for you and everyone involved. However, once you’ve agreed on a price for a property, there’s a lot of different legal processes and documents that need to be carried out before you can move.

A conveyancer is hugely important to any property transaction. Not only are they often required by banks and estate agents, but they can also make the complicated process much more streamlined, allowing you to relax and plan for life in your new home.

What is a Conveyancer?

Conveyancing is the legal transfer of property from one person to another. A conveyancer is someone qualified to deal with the various processes and documents involved in any property transfer. As anyone that has brought or sold property will attest, there are many different hoops you must jump through before the transaction is complete. A conveyancer will offer much-needed support and expertise to ensure the transaction goes through as smoothly as possible.

The Difference Between a Conveyancer and a Solicitor

Some estate agents will ask you to find a solicitor to represent you, while others may recommend a conveyancer. For the buyer or seller of the property, both of these roles are similar.

A conveyancer is a specialist who is a trained and qualified in handling all aspects of property law. A solicitor is someone trained to represent you in various legal matters, including property transactions. In practice, there is no difference in service regarding property transactions between a conveyancer and solicitor, so choose whichever fits your needs best. You do not need both a solicitor and a conveyancer to buy and sell property – you will only need one.

Do I Need a Conveyancer to Buy a Home?

In short, yes. Due to the legal complexity of property transactions, other stakeholders in the transaction (such as estate agents and mortgage providers) will often require you to employ a legal representative for the process. This representative can be a conveyancing solicitor or a specialist conveyancer.

What Does a Conveyancer Do When Buying A Home?

The conveyancer will handle most legal documents and monetary transfers involved in property transactions on your behalf. These include:

· Property searches

· Legal transfer of ownership

· Stamp Duty Land Tax

· Monetary transfers, including mortgages

· Deduction and investigation of the legal title and raising enquiries on your behalf

You will still be required to provide the necessary funds, such as deposit and legal fees. You will also need to sign documents when needed. Therefore, it’s essential to choose a representative that you feel you can trust.

Other Times You Will Need a Conveyancer

For almost all property matters concerning the transfer of ownership or capital (such as mortgages), you will require a conveyancer. These include:

· Buying or selling property

· Buy to let purchases

· Shared ownership property purchases

· Re-mortgaging

· Transfer of equity

Often, the party you are working with during the property transaction (estate agent, bank) will ask you to obtain the services of a conveyancer before the transaction can progress. If you are uncertain whether you will require a conveyancer or solicitor for your matter, please contact us.

At Farnham Conveyancing, we specialise in property conveyancing services and are committed to offering a personable, professional and timely experience. Whether you’re buying your first home, re-mortgaging or transferring property ownership, our approach remains the same. If you want to learn more about how we can help you, email our team at iedwards@farnhamconveyancing.com or call us on (+44) 01252 978290.

farnham_conveyancing