The great thing about purchasing with your retirement in mind is that you are preparing in more ways than one; not only will you be making money every month to cover your bond/mortgage – you will also have a home that will be ready to move into when you do retire. This eliminates the extra cost of having to rent out a home in your golden years.
However, as with most investment options, a buy-to-let retirement property also comes with its set of risks and these are our top tips to ensure that you get the best out of your investment:
Research as much as you can
If you are looking for a buy-to-let retirement property for investment, then you need to know exactly what you are getting yourself into. This is particularly the case if it’s your first time buying for investment purposes. You need to get to know the market inside out and speak to professionals who may be better at predicting the property trends for the next couple of years.
If you rush into things you may end up with a property that loses its value when house prices in the area drop which means that you will then have to cut the rent on your property, and you might find it difficult to sell. However, if you do your research properly – you could stand to make substantial amounts of money on your property if the house prices rise. So, you need to do as much research as you possibly can into the market to avoid making a bad investment.
Calculate the costs
Be aware of the risks involved
What will happen if the rising house prices slow and start to fall? If property prices fall will you still be able to afford your buy-to-let property? If there is a rise in mortgage rates will you still be able to afford them comfortably? Do you have enough spare money in the bank to cover repairs and maintenance in the house if something goes wrong? If a boiler breaks or the pool cracks – do you have a fallback nest egg that you can use to get these fixed?
Remember that you may live there
The best thing about a buy-to-let retirement property isn’t just that it could provide an extra income, but that you may choose to live there someday. If you do plan on settling down in your investment property eventually, then you need to remember to buy something in an area that won’t just give you good rent while you don’t live there – but also one that’s in an area that you would love to live in.
If you are thinking about investing in a buy-to-let property in Calpe, contact us, and you can have a look at our portfolio of incredible properties for sale in Costa Blanca. We will help you out with everything to do with buying in Spain, and with us you are bound to find a property so perfect that it will have you wanting to retire immediately.