By Javed Khattak
Zisk Properties: Flexible Investments & Profitable Outcomes
Investing in the UK property market is still a good idea, even though experts say house prices may be flat in the first half of 2019. There are still many property hot spots in the UK despite the Brexit uncertainties: One has to know where to look.
While it seems that Brexit has only affected high-value properties (over £2 million) in London and other cities, the average house prices are continuing to rise across the UK, due to the positive price movements witnessed in the regional markets. The weakening of the pound has also made the UK property market attractive to foreign investors, thus keeping the UK property market afloat, even if some experts say it is barely so.
Zisk Properties was founded by two brothers, Javed and Zafer, in 2016 to help solve the challenges that exist in buying and investing in the property market.
Property markets are slow to evolve, opaque and inefficient. While some countries like the UK are better than others, there is still significant scope to innovate and improve.
Areas that need consideration include making transactions more efficient, faster, increasing security (more relevant for certain countries), reducing the number of parties involved in a transaction, and most importantly, reducing costs. In addition, there are a considerable number of challenges associated with purchasing an investment property, including:
- Large lump sums required;
- Having access to good property deals through a strong network in the property market;
- A complicated and daunting process;
- The hassle to manage all the involved stakeholders – sellers, estate agents, lawyers and surveyors;
- Extremely time-consuming – a property transaction can easily take up to 6 months or even longer. Furthermore, managing a property effectively not only requires time but also relevant skills and experience.
Zisk Properties was founded precisely to tackle these challenges, with the aim to innovate while helping everyone (who qualifies) to invest in properties with ease and convenience.
The use of latest technologies and data analytics, combined with crowdfunding business concept and an FCA registered fund structure are the key elements Zisk Properties utilises to enable it to become a future leader in the property market and pave a way for a better future.
Here are some property hot spots to look out for in 2019:
Birmingham is the host to 5 university campuses and has the third largest inflow of graduates in the entire country. The accessibility of daily commute to London means Birmingham stands a chance for migration of working professionals. The predicted influx of workers coming to live in Birmingham and a projected population growth of c. 15% over the next 20 years makes it a potential property market to look out for in the near future.
Factors such as growth in property prices in the past 5 years and the predicted rise in population by 12% play a vital role for Liverpool to be considered as a potential property investment hotspot. Ongoing construction and regeneration projects launched in Liverpool also make it a preferable place for investors looking for recently built properties.
Typically referred to as the ‘London of the North’, Manchester has always been one of the prime hotspots for investors, and the trend might continue in the second-half of 2019 as well. In addition to having the MetroLink tram extensions and attracting foreign investments, Manchester also attracts a considerable number of young people to invest in properties. ROI on rental properties is currently at c. 8% and with more than 30% properties being a potential source for private rentals, properties in Manchester can prove to be a brilliant investment.
The lead time for any property to be sold and house prices growth in a particular area are positively correlated with the high demand for investments. Properties in Northampton are currently making the shift from “Available” to “Sold Out” in just a period of 33 days. 5% increase in house prices was also observed in the last quarter of 2018 in this area. These factors make Northampton being a potentially great prospect for property investments.
Despite the adverse predictions of experts regarding house prices, due to weakened currency combined with various local factors, the hot spots listed above should be on your list if you are considering a long-term property investment.
Javed Khattak is a successful serial entrepreneur, an established C-suite executive and an award-winning CFO. However, the young entrepreneur’s path to success hasn’t always been easy. Javed reveals exclusively to Global Banking and Finance Review how he is leading the property market with flexible investments and profitable outcomes.