Property Auctions

Free Property Advice - Buy To Resell Risks

All investment opportunities bring with them an element of risk.

The obvious danger of buying to re-sell is that the value of the property will not rise enough to meet your predictions, or even meet the cost of the renovations.  The UK property market, has been, on the whole, largely buoyant for a number of years. More interest rate rises (which will increase the cost of mortgages) are predicted but it is expected that steady growth will continue.

Renovation costs can have a tendency to escalate beyond initial estimates, sometimes because of the enthusiasm of the investor or maybe through issues with workmanship. It is important to remember that a good businessperson must stick to the business plan.

You should also conduct thorough research into the area in which you plan to purchase a property. As far as you, try and make sure that no developments are planned which could affect the market value of the area and of your property.