Attaining financial security invariably involves saving money over a significant period of time. However, rather than simply stashing away your cash, why not make your money work for you by putting it into a simple, yet savvy investment? Whether you earn an income, such as interest from your savings or choose to purchase an asset that increases in value, opting to invest your savings will help to make the most of your money.
Consider Cash ISAs
Unlike an ordinary savings account, an ISA provides a tax-free saving solution. Interest earned on savings in a standard account is deducted at an individual’s current income tax payment rate, whereas the funds in a cash ISA are shielded from tax deductions for the foreseeable future.
Although a standard savings account may offer a slightly higher rate of interest than an ISA, it’s crucial to factor in the financial effect of tax deductions when deciding where to make the most of your money.
Ponder Property Purchase
An alternative money-making investment to the interest earned from a savings account is the purchase of an asset. The most common route for those looking to make money on an asset investment is likely to be with property and particularly so, on a buy-to-let basis.
Being a landlord can be a lucrative business. With fewer individuals able to get a hold on the property ladder, the rental market is booming. Yet rental demand will always fluctuate in line with changes in the economic climate. However one sector of the market that seems to boast continual high performance is student accommodation. Student properties offer a safe and secure asset class, combining high returns with outstanding occupancy rates.
Whether you go it alone or consider a fully managed investment scheme, student accommodation offers a high performing investment opportunity.
Home Sweet Home
For most people, the family home is likely to be one of life’s largest investments. Many market conditions affect property values and while some are beyond our control, there are still plenty of ways to help boost the value of this important investment. If you’re in it for the long haul, property will ride out the peaks and troughs of market conditions to often increase in value over time.
When the time comes to cash in on your investment, there are many ways to boost your property’s value to prospective purchasers. From small-scale home improvements to minor alterations, improving your home’s kerb appeal will help you to secure a sale.
Basic maintenance to improve a property’s appearance both internally and externally is essential. From a well-tended garden to a contemporary interior, a home in good decorative condition is likely to attract far more attention.
Larger scale home improvement projects will also push up the price of your property. Alterations that are in keeping with the style of your home or that supply additional living space are likely to improve its value. While investment in the family home may not reap instant returns, creating an attractive and appealing living space will be worth the effort in the long run.
Author Bio: Susannah Hughes is a financial advisor. She has a keen interest in property investment and currently works with select property on an advisory basis.
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