4 Key factors to consider when Investing in Property

1. Country wide growth: You may have noticed certain countries are experiencing an economic boom just now which can be due to a lot of factors. As soon as you know that a country has plans to develop internally and externally then its time to take a closer look. Two great examples of this are India and Brazil. There is a huge demand for the knowledge of IT in India and thousands of companies have outsourced their call centre facilities to this country which means a huge amount of cash coming in and more people spending money. This all adds up to an economic boom in India. Similarly with Brazil, the government is on a mission to get investment into the country and it is certainly working in it’s favour and with its export operations increasing Brazil is good example of a country on the up.

2. Infra-structure: Look at the area or country you are thinking about investing in and find out if there are new changes taking place in that region or country. A great example is London, look at what is happening in and around the city to host the Olympic games; there are massive changes in the railway network, bus links (iBus), more cycling lanes and even the water network is being upgraded. All these things should be taken into consideration when deciding to invest in a particular region or country. Is London still a good property investment area? of course it is, even with the already high prices, it’s all supply and demand.

3. Employment: Look at the businesses in and around the region and find out if there are any plans for major new businesses to open in the area. A good example of this would be Donald Trump in Aberdeen in the UK. Although he is fighting to get the £1bn project off the ground it will employ 400 people. There would also be a knock on effect if the plans are successful as more businesses will come to the region ‘If it’s going to make money for Donald I could make money’.

4. Clean up: you might have noticed a cash injection in a particularly bad area of a city to clean it up. This cash injection can go a long way to cleaning up the image of a region. A good example of this would be an area called Govan in Scotland. With a bridge crossing the Clyde River into Govan and the area in general being regenerated house prices have risen sharply.