If you are one of the many lucky Brits who are feeling the positive effects of healthy equity owing to the recent property bubble, you might be considering reinvesting some of that equity into a second home. Whether it is an investment property or a holiday retreat, there are some attractive options available to you. Here are some of Tepilo’s top tips for finding your second treasure:
A room with a view
While the French farmhouse in need of restoration still remains a firm favourite, some Brits are looking to cash in on Italy’s Eurozone challenges for a home under the ‘Tuscan sun’.
“Italy continues to face challenging market conditions with Europe again coming under the spotlight recently over its muted economic growth and with some of Italy’s banks faring badly in the latest stress tests, [but] la dolce vita remains a permanent feature and continues to draw buyers wanting a slice of Italian life”, says Rupert Fawcett, a partner in Knight Frank’s Italian team (source: property wire).
There is an increasing trend towards UK (and US) buyers making investments in Italian cities such as Rome, Venice, Milan and Florence. These investments have the dual benefit of being lucrative if rented out and enjoyable for holidaymakers. They offer attractive locations a stone’s throw from both the beautiful Italian country and incredible urban cultural sights. Fawcett believes prices in these areas will remain stable for the next few years.
A local investment
There is really no reason to venture to foreign shores to have a holiday home that meets all your “dolce vita/la bonne vie” criteria. In summer, Devon and Cornwall offer sun, sea, surfing and vineyard retreats, while the Lake District and Yorkshire Dales offer their own distinct charms of hiking trails and lakeside holidays for a three-month escape from the city. As an added bonus, they are easily accessible from London via rail, and also offer the opportunity for rental income if you need to cut down on costs at a later stage.
If you already own a home in central London, you are at a distinct advantage because certain areas in London have seen exceptional growth compared with more tempered growth in the country. This means that if you remortgage, you’ll have more equity to play with and still benefit from reasonably-priced country homes.
Get ready to hunt around
A word of caution, don’t buy in haste if you are looking to invest in the country. If you buy in an instantly recognisable area, you will be paying more for a house that potentially has less charm than something tucked away in an obscure village. Be prepared to be a local tourist and get to know your desired county, then be ready to go to countless home viewings before bagging the cottage of your dreams.
Do research online
If you are interested in buying a second home in the UK, an online estate agent like Tepilo can offer you a host of resources and information for navigating through the viewing and buying process.
Feel free to browse through our resources here.