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15th Jan 2025|Property Investment|

New Year, New Goals: Investing in Property in 2025

A new year symbolises fresh opportunities and the perfect time to set bold goals. If you’ve been considering building wealth and securing your financial future with reliable, passive income, there’s no better way to embrace 2025 than by setting smart property investment goals. With insights from Centrick Land New Homes Invest, you’ll discover just how achievable it is to start investing in property in 2025 and make property investment your New Year’s resolution.

Why Choose Property Investment in 2025?

Property investment has long been regarded as one of the most secure and profitable ways to grow wealth. In 2025, the UK market continues to present excellent opportunities for new and seasoned investors alike.

Resilient Market Growth

Despite economic challenges, the UK property market remains robust. Over the past decade, house prices have increased by an average of 66% across the Midlands, with regions like Birmingham showing growth rates that outpace the national average at 73% (Zoopla).

Rental Demand Is Booming

With more people choosing to rent, rental demand is at an all-time high. Key cities like Cambridge offer rental yields of up to 3.7% forecasted to rise by 18.1% by 2028, while the West Midlands leads with yields as high as 4.1%, forecasted to rise by an impressive 23.4% by 2028 (Savills).

A Perfect Time to Start Small

You don’t need to start with a large portfolio. Beginning with a manageable investment, like a single buy-to-let property, allows you to build confidence and learn the ropes without taking on excessive risk.

As Andy Butts, New Homes and Investment Director at Centrick Invest, notes: 

“The UK property market in 2025 is bursting with potential, but whether you’re a seasoned investor or a newcomer wondering where to begin, it’s essential to have a clear strategy – and the right team – by your side.”

Step 1: Define Your Property Goals

The first step to turning your property dreams into reality is defining what success looks like for you. Ask yourself:

  • Are you aiming for regular rental income or long-term capital growth?
  • Do you want to focus on residential properties or explore alternatives like commercial investments?
  • Are you planning to self-manage or work with professional agents?

Centrick Investor Club specialises in helping new and seasoned investors clarify their goals and align them with the best opportunities in the market. 

Step 2: Assess Your Budget for 2025

Understanding your financial position is crucial. Here’s what you need to consider:

  • Deposit and Upfront Costs: Buy-to-let mortgages usually require a 20-25% deposit. For a £300,000 property, this means at least £60,000 upfront.
  • Stamp Duty and Legal Fees: These additional costs can add around 3-5% to your purchase price. Following the Autumn Budget 2024, the stamp duty entry price bracket will increase to 5% along with the remaining sums from the 1st April, 2025. 
  • Ongoing Expenses: Maintenance, insurance, and letting agent fees should be factored into your budget.

Not sure where to start? Speak to our team on 0121 347 6116 for personalised advice on financing your property goals and explore our investment properties

Step 3: Explore High-Growth Locations

Location is key to any successful property investment. Here are some 2025 hotspots to consider:

Cambridge: 3.7% Rental Yields
  • Why Invest: As the UK’s tech hub, Cambridge attracts professionals seeking high-quality rental properties. Developments like The Hale offer modern, energy-efficient homes ideal for tenants.
Manchester: 4.8% Rental Yields: 
  • Why Invest: Known for its affordability and economic growth, Manchester’s property market remains a favourite among investors for its cultural appeal, thriving media scene and top universities. 
Birmingham: 4.1% Rental Yields
  • Why Invest: As the UK’s second largest city, Birmingham offers a thriving business scene and excellent transport links, including HS2, alongside an impressive £1.9bn regeneration – making it a solid choice for investors.
Burton-upon-Trent: 4.1% Rental Yields
  • Why Invest: Known as the home to British beer, Burton offers a rich cultural heritage, affordable property market and strong lifestyle appeal. For those looking to invest in a smaller, community-focused area with strategic access to major cities, Burton is an excellent choice.
Leicester: 4.5% Rental Yields
  • Why Invest? Leicester’s thriving economy, growing student population, and ongoing regeneration projects promise strong rental demand and long-term growth potential for investors.

Step 4: Start Small and Build Confidence

As a first-time investor, consider starting with a single buy-to-let property. Here’s why:

  • Lower Entry Costs: Smaller properties require less capital.
  • Simplified Management: Managing one property allows you to learn the basics without being overwhelmed.
  • Flexibility to Scale: Once you’re comfortable, you can expand your portfolio and build wealth.

Step 5: Build a Strong Support Network

Investing in property isn’t a solo journey. Surrounding yourself with the right experts can make all the difference:

  • Property Consultant: Specialists like Centrick Invest help identify high-yield opportunities.
  • Mortgage Broker: Secures the best financing options tailored to your goals.
  • Solicitor: Ensures all legal and contractual aspects are handled correctly.
  • Letting Agent: Takes care of tenant sourcing, maintenance, and compliance.

With the right team, your 2025 property investment journey will feel more manageable and stress-free.

Checklist for New Year Property Goals

Here’s a handy checklist to kick off your property investment journey in 2025:

  1. Define Your Goals: Decide whether you’re aiming for rental income, capital growth, or both.
  2. Set Your Budget: Understand your financial limits, including upfront and ongoing costs.
  3. Research Locations: Identify high-demand areas with growth potential.
  4. Secure Financing: Apply for a buy-to-let mortgage or explore alternative funding.
  5. Choose Your Property: Start small with a manageable investment.
  6. Build Your Team: Engage with experts at the Investor Club.
  7. Plan for Management: Consider tenant sourcing, property upkeep, and legal compliance.

Avoid Common Pitfalls

Learning from others’ mistakes can save you time and money:

  • Overestimating Returns: Research local rental rates to set realistic expectations.
  • Ignoring Maintenance Costs: Always budget for unexpected repairs.
  • Neglecting Compliance: Familiarise yourself with landlord regulations to avoid fines.
  • Skipping Professional Advice: Partnering with experts like Centrick Invest ensures you make informed decisions.

Start 2025 with Centrick Invest

There’s no better time to make property investment your New Year’s resolution. At Centrick Invest, we’re here to support you every step of the way. From identifying lucrative opportunities to managing your investments, our team provides expert guidance tailored to your goals.

Explore more on property investment or contact us today to turn your 2025 property ambitions into reality. Let’s make this your year for property success.

For enquiries, contact the team today

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