Tag Archives: property investment UK

Types of Residential Property Investment UK

property_investment_ukThe United Kingdom’s real estate properties are undoubtedly a ht commodity. With its strong population, high levels of tourism, bustling economy, and promising business sector to name a few, it’s no surprise that people flock the country to do business, to work, to study, to live, to retire, to vacation and so on and so forth further increasing the demand for residential investment property UK.

As the name suggests, these real estate assets pertain to those primarily used as living spaces. People buy them either to personally use them or to profit from them. But as straightforward as it may sound, there are essentially many types of residential investment properties UK and we are here to let you in on them.

  • Single Family Houses

These are homes that are built on a single lot and do not share any walls with another property. They may come with or without an attached or detached garage, and/or a garden. This type offers the most privacy and is the most common and not to mention traditional residential property investment UK. It does require more maintenance and are generally more expensive compared to the others given the same factors such as location.

  • Condominiums or Apartments

These pertain to an individually owned unit of real estate, especially an apartment or town house, in a building or on land that is owned in common by the owners of the units. Depending on where one’s unit is situated within an entire storey’s floor plan, condos can share one or more walls with other units. These are very popular in urban, high-density areas such as the United Kingdom’s capital city, London.

  • Dormitories

Dormitories refer to a large room divided into several sleeping quarters and which often shares key features like bathrooms, living spaces and the kitchen. Common examples are boarding schools or a hostel. Unlike single detached homes and condos, these are often for a shorter span of time such as a few days to some weeks.

  • Vacation Homes

As its name suggests, these are residential homes that chiefly serve as a vacation or holiday house so they are often found in the countryside or in areas that offer fun, nature and respite. They are often for relaxation and are not inhabited for a full year round.

  • Mixed-use Properties

This type is a very common type of residential property investment UK. Several buildings are used not just as a dwelling place but also as a commercial space such as an office for personal use or even offered for lease to businesses in need of retail or office space.

Buy or Rent a Commercial Property Investment UK

For entrepreneurs and business owners, there’s always this constant push and pull of ideas. Which option to pick? What should we do? How do we achieve this goal? The questions go on and on. One of these queries that must be addressed as something to do with real estate assets. Should you buy or rent a commercial property investment UK?

The answer: It depends. There’s no cookie cutter solution to this because every company varies. Each one is unique in their needs no matter how similar they may appear. But to help you out in deciding and weighing which among the two you would go for, we came up with the following list of situations that benefit each alternative.

Option #1: Buy a commercial property investment in UK

  • Permanent Space – If you want something that’s more permanent and which you foresee having to use for a long period of time then buying can be wiser. It also provides permanence so you need not worry about a lease contract expiring and having to move out should the landlord want something else to do with the space.
  • Adequate Resources – If you have the means to buy then you can go ahead and acquire. There is more to owning this type of investment though so proper computations and careful analysis must be done beforehand.
  • Cost-Effective in the Long Run – As time passes by, renting can become financially expensive especially considering the fact that ownership does not transfer to you. When you buy and own the property, you can eventually resell it for a profit if and when your purpose for it expires.

Option #2: Rent a commercial property investment in UK

  • Temporary Space – If you need something that’s temporary, renting is more cost effective. You won’t have to spend as much in terms of repairs and maintenance. Plus, majority of rental units are situated in prime locations with heavy foot traffic.
  • Limited Budget – Investing in a commercial property is costly both upfront and as time passes which makes leasing the choice for entities that do not have the adequate resources for it.
  • Startups and Small Enterprise – Many same to medium scale enterprises and startups opt to rent, for some at the time being, because they do not have adequate assets to garner a loan to buy a permanent space commercial property investment in UK yet.