Why Invest in Property?
• A rental property provides financial independence. It is a non-elusive,
physical – ‘bricks and mortar’ method of investing
your money.
• It offers tax advantages.
• The property investor borrows other people’s money (the
bank) and pays off the investment mortgage with other people’s
money (the tenants).
• The mortgage is paid off and equity is built up – equity
represents one of the most profound and secure savings there is.
• It outpaces inflation, in most cases, by a large margin.
• Once the mortgage has been paid, the monthly rental income offers
a steady income.
• Your investment may become home to a family member in the future.
For example, new employment or university accommodation. In this way
high-quality accommodation is guaranteed and money is saved by not paying
rent to another landlord.
• YOU are in control of your investment, instead of fund managers
in the case of stocks and shares.
• The company, which owns the stocks and shares, may become bankrupt.
An investment property will always endure.
• Although there is no rule that guarantees a house will increase
in value, there is a general appreciation in price of a well looked
after property, located in a good neighbourhood.
• A property can be a flexible asset, which can be cashed in at
any time or passed on to the next generation. Shares must be sold or
dividends set to receive income.
House prices continuing to rise
The decade-long growth in house prices in Northern Ireland is continuing, according to the latest figures.
The University of Ulster's house price index has found an annual growth rate of 13% in prices during the fourth quarter of 2004. The Bank of Ireland's Head of Research in Northern Ireland, economist Alan Bridle, said, the findings portray a market that is "bubbling along". Source: University of Ulster Quarterly House Price Index
|