As an investor, your investment is only as good as the return it generates, but how do you know what the likely return on investment is going to be before you have chosen your investment property? It is essential that an investor calculates the potential return on their investment if their overall portfolio is going to have the greatest chance of success.
Is it better to focus on short-term rental yields or long term capital growth? Will certain schemes like assured buy back or rental guarantees ensure a better return? These questions are essential to ensuring that you calculate the risk vs reward and that you make the right decision with your next property investment.
We have put together a number of guides on investment returns that will give you a better understanding of how to calculate your property yield and explain how both assured buy back schemes and rental guarantees work in order to help you answer some of these questions.
It is imperative that investors calculate their return on investment before they purchase each property that they are looking at. In this guide we outline the three main types of property yield and how to calculate them!
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Our glossary of terms contains a comprehensive guide to various property investment related terms to give you a better understanding of the language and terminology used when talking about investing in property.
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