Can Buy to Let in Chelmsford add to your pension pot?

 

Increasingly we are dealing with first-time landlords who are looking at property as an alternative to, or to run alongside, a pension scheme. Landlords at the moment can look to achieve average yields of around 5% upwards in Chelmsford and if bought in the right area, they can then hope to sell the property for a profit. Capital appreciation is an important factor to take into account when looking at Buy to Let.

Many people turn to the property market for long-term investments when gains from other investments aren’t proving fruitful. In the current climate we’re seeing a lot of new landlords because they’re not getting the returns from the traditional stock market or bank investments route.

A property is a tangible asset, which many people like, and the combination of income and capital growth is attractive to most – whether a landlord wishes to sell on retiring in 10, 15 or 20 years, historically property prices have risen over a significant time-frame. You have to be prepared to weather the storm with the property market and works better when you invest for the long term. If the property market does take a hit, providing you hold your nerve, you could still come out of it at the end with a profit.

I would suggest that when people are thinking about their future and retirement that it’s good to have your money invested in a variety of ways and not purely rely on a pension. Investing in property is another option that should be considered.

Always ensure you are properly informed and, if in doubt, feel free to come in and see me in our office on Duke Street.