Should you invest in FREEHOLD or LEASEHOLD properties?

For most people starting out in property investing, the most important thing is to build up the experience and limit the risk.

So should you invest in Freehold or Leasehold properties if you are just starting out?


The short answer is: invest in whichever that is the MOST WANTED in your area.


If you area is outside London, you can get this information through your local letting agents.

If you are in London, the answer is not as straightforward – because both freehold and leasehold can be desired by tenants.

However, generally freehold houses are more expensive, bringing your return lower than leasehold (except for those leasehold flats with really expensive service charges). But with freehold, you would have more room to carry out refurbishment to increase the property value.

You would have to go back to your ultimate goal – understand what you want from property. And then let the numbers talk, and make decision from there.

Build up the knowledge first and you will know what to do next!

Emma

* Want the step-by-step action points, tools and scripts, to build an extra £2000/month income through property within 6-12 months? – CLICK HERE to book a free strategy session with me.