Property in the UK

Many developers in the UK will offer significant discounts to purchasers who choose to buy their investment property off plan, i.e. before the build is complete. Current examples include The Cube and The Mews developments in Manchester, both marketed through the website BuyProperty4Less.com. These builds are due to be complete in autumn 2008 and contain apartments from £116,450 to £152,150, available with a 15% discount for those buying off plan. In the fashionable Ancoats area of Manchester, the Ellesmere Property Group is offering 17% discounts to off-plan purchasers of apartments in their Ingenta development. Here there are 30 properties for sale with gross prices starting at £181,260.

The website off-plan.co.uk also holds a range of interesting investment opportunities, including Victoria Court at Platt Bridge in Wigan. Here there are ten luxury two-bedroom apartments available priced at £125,000. Those buying off plan can save 15% on that price, which works out as a discount of £18,750. If you are looking for a good discount on an investment property, search for new developments in your area and you could be pleasantly surprised.

For those who wish to do their own redeveloping, going to auction can be a cost-effective way of purchasing an investment property. According to the Sunday Times, "90% of cheap property is sold at auctions". Due to the popularity of purchasing investment property at auction there are now a growing number of companies that offer to keep you up to date with the latest auctions for a small subscription fee. One of these services is run by IPDS whose website, auctionpropertyforsale.co.uk, also contains useful guides to the auction process. Another website, LandlordZone.co.uk, has a number of useful links to other companies where auction listings can be found.

Another way to make the most of your investment property is to buy in to an area of expected growth. Scotland is currently at the top of the list of many of the UK's property forecasters. Scotland is enjoying a period of economic prosperity due to the oil industry and is the focus of much new investment. The good news for investors is that the property prices in Scotland are on average around one-third less the elsewhere in the UK so it is possible to buy low and get a higher-than-average return. With its great transport links, growing university population and rich history, Aberdeen is full of potential for those searching for investment property. The agent Gavin Bain & Co holds a wide range of properties in the area, which currently range in price from £68,500 to £450,000. Dundee is also a good prospect for investment. Here, Your Move is currently marketing a three-bedroom city centre flat in an attractive converted mill building for £137,950. If you prefer your investment property to be in a brand-new development, take a look at Discovery Wharf. Construction and Property Marketing have two and three-bedroom apartments in this modern building from £161,000 and £187,750 respectively.

Taking advantage of a buyer's market means that after the initial saving, investors will be looking to the long term for significant returns. However, buying to let in thriving university towns and regenerating business regions can offer great rental opportunities. As always, good research and good timing are the keys to success.