If you’re just starting out in property investment, it can be difficult knowing which path to go down. There are different things you need to think about before making a property investment, with the main consideration being which type of property you should invest in. To help you make the right decision, here’s a guide to some of the best property options for first-time buy to let investors.

Student accommodation

Student accommodation is one of the best investments you can make if you’re just getting started with property. This type of property tends to be cheaper to buy than some other investment properties, while still offering some attractive returns. However, the type of returns you see, and the success of your investment, is heavily reliant on the area you choose to invest in.

When investing in student accommodation, it’s crucial to go for cities with the highest student populations. Some of the best cities for student property investment include Liverpool and Manchester. These two cities boast large student populations, with Manchester being home to one of the UK’s largest single-site universities. This means that the demand for student property is consistently high in these cities, which, paired with the overall affordability of property in the north-west, makes for an attractive investment.

Off-plan property

Off-plan property investment means to buy a property before it’s complete and is still in the planning or development stages. While this might seem risky for some, this type of property investment is one of the most lucrative options, especially if you’re interested in the potential for capital gain. Off-plan properties have the ability to grow in value before being put on the market, especially when they’re built in an area with a lot of capital growth potential. This means that you could buy your off-plan property for a cheaper price than it grows to by the time it’s ready for tenancy.

Other benefits of off-plan property which tend to attract beginner investors include the below-market rate that most property companies offer. You can purchase off-plan properties for lower than you would for a property that’s already complete, while still attracting a lot of demand and generating some impressive rental yields. Of course, you wouldn’t want to buy a property without first having some indication of how it is expected to look. That’s why many property companies, such as RW Invest, offer potential investors the chance to take a tour of the expected outcome of the property with the help of virtual reality.

City centre residential apartments

A popular investment type for beginners and experienced investors alike, city-centre residential apartments make a great option. This type of property is recommended due to the levels of demand that they attract. Since young people are now struggling to purchase a home of their own, young professionals are one of the most popular tenant types in the UK.

Young professionals tend to favour city-centre apartments, as they want to be close to their workplace and all of the city’s main attractions and points of interest. As with any investment, you should always make sure that the area you invest in gets the right type of demand. Look for areas with a lot of demand for this type of property, such as the north-west. As of late, more young people have been moving away from London and looking up North, taking advantage of the affordability of the area along with the wide range of business opportunities. Investing in a residential apartment in Liverpool or Manchester city centre is likely to guarantee a steady stream of rental income, with fewer void periods.