Everyone knows that the property market has taken a huge hit over the last two years and that prices have come down by nearly 30 per cent across the UK. For many this would make investing in property right now seem risky. But the wealthy and smart are taking another view.

The main reason for this is that property in the UK typically follows an 18 year cycle of rise and fall. So after a fall (such as the one we have just experienced) it is safe to assume there will again be a rise and therefore a profit can be made.

Unfortunately, it is never as simple as just finding a vehicle in which to invest. As much of the credit crunch can and has been blamed on sub-prime lending and on over-lending on investment property, the banks are being understandably cautious about falling into the same trap again. It is therefore now harder than it has been in recent years for individuals to purchase properties - unless of course they have large cash deposits and have the credentials that will enable them to take on responsibility for hefty mortgages.

There is another way. Property funds allow individuals to invest in property without the need for personal mortgage debt.

Many property owners have been reminded that property assets are not the easiest to realise. But property funds can be shorter term propositions, perhaps three to five years.

They also provide investments which span a larger portfolio than most people would otherwise be able to assemble – thereby spreading the risk.

The biggest stumbling block however, is that most property funds are aimed at high net worth and sophisticated investors; meaning that the general public have no means of finding out about them or are restricted from investing thanks to high entry levels, sometimes £25,000 or more.

It seems that the rich get richer whilst the rest of us have to settle for less in return for investing our hard earned money. Well, not necessarily so.

There are some property funds that specifically cater for smaller investors, with their low investment entry levels and attention to risk.

Heritage Capital, for example, recognising the advantage that many smaller investors see in investing now in the distressed property market, has an entry level of just £1,000.

These investments are fully managed and hassle free.

The company’s advice is for investors who like the idea of putting money into property funds, is to look for those that hold a mixture of property types and cover a wide range of geographical locations, says Heritage Capital Head of operations Alison Guyton. ‘This will ensure maximum returns with the lowest risk’, she says.

‘Wise investors often get into markets early and leave early. And they match their outlay to their very own perception of risks and rewards and knowledge of their own resources. We seriously believe property funds provide an ideal option for investors who can see the current potential in property but for one reason or another do not wish to buy properties in their own name’.