Property – alongside cash, bonds and shares – is one of the four most common types of investments. Property investment takes many forms, from pooled funds to buying a house to live in or let out.
With property, there are two main potential ways to make a return:
Rent – you can earn an income by letting out property to tenants.
Selling for a profit – if you buy property and later sell it at a higher price.
Even if you don’t want to buy a property yourself, you can get these potential benefits indirectly by investing in a property fund that invests directly in property.
There are also other related ways to invest, for example through property maintenance and management services.