January is that awkward time after Christmas where some people are living out their new year’s resolutions – and sometimes falling short – and the time of year for speculation on what sort of a year 2022 will turn out like. Inflation has reached a 30 year high, fueled by global market pressures. Despite the pessimism, buy to let market yields are still holding up, albeit with rising uncertainty. Reddbox believes abandoning property too soon would be a mistake, given the strength of the housing market in the midst of a two decade long population boom and the increased cost of mortgaging. Reddbox is here to cover the bases.
The Question of Property
Properties are holding up as a solid investment in the wake of 5.4% inflation in the month of December, and the market is still strong, albeit prospective homeowners are taking out fewer mortgages following the banks tightening the rules on lending. This is due to the likelihood of further rate rises, the first of which is expected as early as February. We published a guide to help you save on your BTL portfolio, you can read it here if you haven’t already.
Retirement Investments
Reddbox recommends the inflation – linked annuity being the way to go, to prevent inflation from eroding your pension pot. This will guarantee the value of your savings over time. They also pay out more cash from the beginning.
Other Investments
Bonds with a fixed return are never a prudent investment in the wake of rate rises, as the value of the dollar or pound in repayment falls. Owning index linked bonds however can be a safeguarded option where the interest is paid in line with inflation.
Reddbox is also launching new insurance products soon, so you will be able to take out insurance, manage your plans, and streamline your property portfolio in one app.
Our offer: Download the app and start saving time managing your properties. Follow the screens to provide your details, and that’s it. Some of the key features why you should consider Reddbox are –
- A completely app-based, super simple service booking process.
- Options to pay for the service over a few months without any additional interest or fee. See our rates here. Be quick, we are running promotional rates at the moment.
- You can book the service seven days a week, which means no need to disrupt your busy day.
- A very transparent cancellation and refund policy.
- And the best one – Reddbox will automatically organise all the relevant documents such as invoices and certificates.