1. Research, research, research – know the area you are buying into. Regeneration plans and new Tube stations are great indicators of up and coming areas and capital appreciation. Apply the ten-minute rule for access to transport links, bars and restaurants and local amenities.

2. Location – consider who your ideal tenants will be. To attract quality tenants you need quality locations.

3. Buy well – consider both price and content. Research prices in the area and look for comparables. Can white goods, flooring or furnishing be included in the purchase?

4. Make sure the numbers work – most wealth is created through capital appreciation, so buy a property that supports this type of growth. Ensure you include all costs in your financial projections (such as legal fees, stamp duty, service charges, ground rent and contingency to accommodate void periods between tenants). These costs are all too often ignored, leading to negative monthly cash flows.

5. Appoint the right advisers – a professional regulated adviser can secure the best deals free from fees and aligned to your investment strategy. Good letting agents will minimise void periods. Remember that not all solicitors are off-plan specialists.

6. Don’t expect to get rich quick – property investment should be approached with a long-term view. It is an asset class that in the medium to long term has outperformed all other asset classes and we would encourage people to build a sustainable, appropriately geared portfolio over a number of years.

7. Never ignore the basics of supply and demand – find out what is needed in your chosen area. The markets for one-bedroom flats and four-bedroom houses do not follow the same pattern.

8. Don’t be influenced by your emotions – you’re not living in your investment so decorate and furnish at an appropriate level of quality. Make sure you understand what quality is required and don’t be tempted to furnish cheaply if you want to retain quality tenants.

9. Be wary of incentives – particularly schemes or developments where you are under pressure to sign up quickly to secure the deal, and never buy an off-plan or new property without the guarantee of either a National House-Building Council (NHBC) or Zurich ten-year warranty.

10. Don’t pay over the odds – avoid paying finder’s fees, commissions or subscriptions, particularly prior to completion. If the investment proposition is a sound one, there should be no reason to pay up-front fees.

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