With 2023 just around the corner, and the current economic turmoil showing very few signs of calming down, it’s imperative to know what steps you should take to ensure continued return on your property investments going forward.
The property market is still proving unpredictable, which means that the value of your property investments might fluctuate. However, there area few things you could be doing to help maximise the value of your investments and the rental income you receive from these.
It's no secret that refurbishing and renovating your properties can increase both the rental and property value of your portfolio.
While you may not have the funds immediately available to undertake such a project, our bridging finance and development finance teams can step in to help source a loan on your behalf. Whether you are looking to complete smaller renovations across your property portfolio or complete larger-scale development projects, our team can help.
Smaller changes, like upgrading household appliances or repainting the walls could help increase rental value and tenancy lure, while larger ones like building extensions or conversions could increase the property’s overall value, which could then demand higher rental costs.
For example, during the Covid-19pandemic, homes that had enough space for an office soared in popularity; something a loft conversion or extension could give you and your potential tenants.
Plus, tenants will be on the lookout for houses with a good EPC rating to help them save on bills, a newly refurbished kitchen for a cleaner and more modern feel, and recent paintwork to avoid problems during their stay.
These developments can be easily achieved with a property investment loan, increasing your rental income as well as your property value. Our development finance can help you make these improvements providing you meet our lending criteria.
We can provide funding of up to £500,000 to help facilitate property improvements, with a loan term of up to 24months and as little as a 2% setup and 1% exit fee!
Property investment finance isn’t only for individual residential properties. If you own a larger complex of residential apartments, for example, you can receive a development finance loan to facilitate improvements for the entire block. This will help improve your tenant lure and could justify a rise in rent costs.
You might be looking to upgrade the appliances across an entirely residential block, refurbish the communal areas, build balconies, or replace the external cladding to improve the property appearance.
In these instances, you may qualify for a bridging finance loan to help bridge the gap between the funds you have available and those you need to carry out any works.
Bridging finance loans will help give an immediate cash injection of up to £1 million but will need to be paid back across a 12-month term. The amount you receive will also depend heavily on the equity of the assets you have at your disposal for security purposes.
A loan of this size could enable you to perform large-scale improvements to help increase your revenue immediate monthly revenue and increase the property value for the future.
A bridging loan may also be suitable if you are looking to develop a new property from the ground up to either let or sell on – speak to our team today to find out the options available to you!
Lastly, your portfolio doesn’t necessarily need to include residential properties. You may be in possession of a commercial property or complex which you might wish to protect against a tumultuous economy, too.
Commercial properties can benefit from renovations in a similar way to residential properties, and in many cases, may be able to offer even more value thanks tothe changes.
For example, an extension onto a commercial property gives the tenants additional space to hold stock have a designated meeting room, while a full shop fitting project could help a retail client more easily display their products.
These changes have the possibility to increase rental and property value for commercial buildings, which could significantly increase your income on a monthly basis. Landlord financing, be it through development or bridging loan options, will help you achieve these possibilities.
Acuity Finance are specialists when it comes to securing quick and flexible financial solutions for landlords and businesses across the UK. We are here to help you facilitate your own growth with our range of products and expert team.
No matter whether you’re looking to secure a loan against residential or commercial properties, we’re here to help! Our team will be able to talk you through all available finance solutions, so call us today on 01905363999 or email email@example.com!