The British real estate market is the most developed and stable in the whole world, and that is exactly why it is so attractive for investors.
It does not matter if you buy residential property for your family or commercial for your own business, profit is guaranteed. Regardless of economic changes, property prices in the UK are constantly growing, which means that in a few years after the purchase the real estate object you will be able to earn on cost difference, at least.
Commercial real estate is constant income with the prospect of cost increase and liquidity. Of course, most investors want to invest in objects in London. Elite areas in Central London are considered to be the most desirable for investors, but the investment amount will be rather big - a few million pounds. Major business activity of the city is concentrated in the center of London.
Here there are offices of large companies, therefore commercial premises and business centers are at the top in the list of places for investment: rent here is not cheap, which means that the owner will receive stable high income. It is not easy to buy such property, the demand considerably exceeds the supply, therefore it is better to contact a large company to purchase such object.
What attracts investors?
- stability of economics and market;
- huge financial flows;
- constant cost increase of capital;
- a lot of tourists;
- high profitability in the medium and long term.
What is better to invest in?
It is recommended to pay attention to already finished objects that have reached a certain level and are well-established, thus profitably located. The most popular commercial properties are below.
Exactly office space located at the top in the list of popular commercial real estate. This is the best variant of investing funds not only in London, but also in other major cities in the UK. On average, the office lease is concluded for 7-10 years.
2. Business premises
The second place belongs to business real estate: from large shopping centers to small shops. However, it is not that easy to purchase such object because of its demand. The main thing is not to chase the most popular location, so that at the end the building rental does not exceed the profit from the investment.
Hotels are in third place. Despite the fact that such investment plan is somewhat risky and it is not that simple to choose a good hotel in England, this option is popular among investors. The profitability of investment in a hotel directly depends on the country's economics and tourist flow. It is better to buy the hotel in places of the greatest activity of tourists - in London, Edinburgh.
Before the purchase it is important to study the history of the building, its potential for development and modernization, and the possibility of emergence of competitors in the area.
Also, it is worth of considering the possibility of investment in storage facilities, hostels for students, retirement homes - these objects are also included in the rating of the most repaying projects.