Grant Management Offers Tips On Where To Invest Your Money In A Recession
April 02, 2009 (PRLEAP.COM) Business News
Grant Management offer tips to help invest your money in a recession.One of the world's most successful investors Warren Buffet once said: "Whether we're talking about socks or stocks, I like buying quality when it's marked down". This, I guess, can apply to any kind of investment purchase, and in particular to property. Especially now. In the last 18 months, stock markets have fallen by around 50%. Property values have also fallen, with commercial property down by around 40%. Residential property is down by around 15% according to the Government. Hardest hit within residential is the one and two bed new build market, leaving many 'DIY' investors with serious negative equity.
So what should investors do now? Despite bank savings rates being at an all time low, many people are still sitting on their cash. But the savvy investor is today looking at the opportunities to be had.
My advice would be to stick with what you know. Retain a mix of shares, pension and property. On the property side, the great 'DIY New Build' approach is likely to be over – banks and investors will be far more cautious. The whole property investment sector is likely to consolidate and professionalise. Niche funds will emerge for halls of residence and traditional property rented to students. The focus will rightly turn to yields rather than blind expectation that 'everything will work out as prices will only ever go up'.
The student market remains one of the most sensible propositions, largely because of its recession -proof qualities. Students will always need good quality, affordable rental accommodation, which makes buy-to-let a solid investment particularly in university towns.
The notion of investing overseas is less attractive in current times given the bulk of any gains will be swallowed up by exchange rates. A different story however for investors from abroad looking to the UK, it is an extremely attractive proposition offering a double whammy – extremely low prices compounded with a very weak pound.
Grant management cover the whole UK and have a variety of property some of the areas they cover are property to rent in Glasgow, property to rent in Liverpool and even <property to rent in Manchester.
According to a recent Nationwide report, the bottom is in sight. Confidence is starting to return as the value seekers are moving in. Our advice would be to move quickly if you want to get the bargains on offer and get the maximum return on your investment. Overseas investors are likely to lead the charge according to Savills, and no wonder given their Property Investment Dollar goes 50% further than it did a year go.