This section will outline the different basic strategies real investors should be thinking about when looking at prospective properties. Each article is from a standalone asset perspective.
- With regards to multiple properties by expanding your portfolio, we note that it is important to invest in what you know. As time is invested learning a particular area and its price dynamics, it does make sense to continue investing in other similar assets in that area to continue your chosen strategy.
- But it is important to consider general portfolio diversification across both a) different part of London as well as b) different types of property asset. Such diversification can prove to be extremely useful in diversifying your strategies, which could for example be a mix of equity gains and cash flow yielding buy to let properties; the latter can be very useful in protecting you in downturns in which property prices may be somewhat depressed.
- From the outset, London Property Analyst advocates using combined strategies offering multiple routes for upside with strong cash flows, potential development opportunity and general equity gains being made from property price growth. Taking such an approach takes time to locate such gems offering multiple strategies.
Read on by clicking here for Strategy Part 1 – Buy to Let.