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How to invest in property – Make Your Pension Work For You With Help From Cairn
Changes to the pension structure from April 2015 mean that pension holders will be free to access their pension pot. This allows greater flexibility for individuals and opens up a range investment opportunities including BTL investment.
Mistoria Group research revealed that there was more than a 20% increase in ‘silver landlords’ buying student property last year. Increasingly pensioners are realising the value of BTL investment over more traditional investments funded by annuity. With 200,000 pensioners expected to cash in pensions from April this looks likely to increase.
Student properties in areas close to places of study, social centres and transport links have attracted increased investment in recent years.
With careful management and expert landlord services student properties can attract year round occupancy and offer investors a steady yield. They can command rents at a higher end of the spectrum than other areas.
Properties shared by three or more unconnected tenants do require a HMO (House in Multiple Occupation) License and are subject to stricter restrictions than other rental properties. These restrictions can be met with expert advice. Our staff at Cairn specialise in HMO licenses and are confident guiding a property from initial investment to HMO status.
Investors can expect an annual cash yield from BTL properties, as property prices nationwide continue to rise while the demand for these properties remains high, capital appreciation.
Since BTL mortgages became available nearly twenty years ago student accommodation have outperformed all other traditional property assets making it intelligent choice for pensioners looking to diversify their investment.
If you are keen explore BTL as an alternative option for your pension funds get in touch with Cairn today. We can help you to understand the sector first. Should you then chose to make an investment we can support you by sympathetically refurbishing your property for the student market, and our programme of property maintenance and ongoing tenant management and training has been developed to ensure that you deliver under your obligations as an HMO licensee and landlord.
If you enjoyed reading this blog post and would like to read other content like it, please visit the Cairn website which has a whole host of interesting articles as well information on all the services available at Cairn.
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