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Difference
Anyone buying property to let out on a long-term basis will most likely be deemed an investor, whereas someone buying to refurbish then sell, whether resulting in a gain or not, may be deemed to be dealing or trading in properties and be taxed accordingly. The two main factors to consider are intention and whether the transaction has the characteristics of being a trade.

Capital/investment transaction
Unless losses are incurred on sale, it is usually preferable for a transaction to be of a capital/investment nature and for the property to be held personally or via a joint/partnership investment, rather than held within a company. This is because individuals are allowed an annual exempt amount on sale and may be charged a lower effective rate of capital gains tax than the tax rates charged on company profits.

Property dealing/trading transaction
If the transaction is in a property dealing/trading situation and the property owner is taxed at the higher rates, it may be preferable for the property to be owned within a company rather than individually because the overall tax rates charged through corporate ownership can be lower than the income tax rates on trading profits.

A particular problem may arise for those engaged in the property business in some way (e.g. a builder, surveyor or estate agent). Even though the purchase itself has nothing to do with their trade HMRC could try to argue that the purchase of land and subsequent sale is a trading transaction.