Offshore Guidebook | Real Estate Investor Magazine Offshore Guidebook 2013 | Page 26

LONDON 4. Employment City-centre living has become more popular in recent years, with many professionals choosing to live close to where they work rather than to make the long commute back and forth between home and work. Canary Wharf is a perfect example of this; many investors have seen their rents increase substantially, thanks to new companies relocating nearby. Even if you are not buying in London’s city centre, it’s still important to consider local employment prospects while keeping an eye on the news for expansion plans or inward investment. A large company arriving on your doorstep or a new office block can spell an influx of prospective tenants and boost rentals. Lots of empty retail units or closing down signs in shop windows should ring alarm bells. Decide on the size of the property So, should you be buying one- or two-bed apartments, or opting for larger family homes? Truth is, this will all depend on the area you decide to invest in. One of the most common mistakes South African investors make when buying property in London is to come over with preconceived ideas of what they are going to buy to attract a certain type of tenant. I often hear variations of the following: ‘Well Mike, we are only look ing at t wo-bedroom apartments because we only want to attract young professionals.’ The problem with this is that y ?R&R?v??&??p?F?R??6??&?WB( 2?B???7B???'F?F????W ?&?7V7F?fRFV??N( ?2&WV?&V?V?G2?v???R?N( ?2G'VP?F?BBv??&VG&???'F?V?G2??v??&?VF????WBvV??&V6W6RF?W&R?2?&vRFV??Bg&??&?fW76????6?&W2?6???W"&?W'F?W2?7V6?2??V&VG2?B7GVF??2F?&WGFW"??6?'?v?&b?v?W&P?V??R&VfW"F??fR???R?b??R&Rv?&???r???R?B??R?VVB?V?v?F??FV6?F??rv?B6??R?b&?W'G?F???fW7B???F?W&P??2?????R?6RF?7F'B( 2F?R??6??WGF??rvV?G2???WGF??rvV?G2FV?v?F?V?V?&?W2g&???FV?F???FV??G2F???F?W?6??ffW"V??VR??6?v?B??F???FV?F??FV??G>( ?&WV?&V?V?G2?BF?R??V?@??b&V?BF?W?v???&R&W&VBF??f?"7V6?b?0?&?W'G?G?W2?$U4?U$4U0?6?WG2bF??? ?#@???fg6??&R??F&???#0??wwr?&V??r?6??????