Many people jump into property investment in the UK without understanding the risks.
Here are the three biggest mistakes new investors make:
- Not Doing Proper Market Research – Buying in the wrong location can kill your returns. Always check rental demand, local employment rates, regeneration projects, and property price trends before investing.
- Underestimating Costs – It’s not just about the mortgage. Factor in stamp duty, maintenance, management fees, and potential void periods. Always have a financial buffer to cover unexpected expenses.
- Overleveraging with Bad Financing – Just because you can borrow doesn’t mean you should. A bad mortgage deal with high interest rates or short fixed terms can affect your profits. Work with a specialist mortgage broker to secure the best financing.
📌 Takeaway: Property investment is a long-term game. Do your due diligence, understand your numbers, and finance your deals wisely to build a profitable portfolio.