Which is the most compatible software to use when creating objects for unreal engine 4?
Factors to consider:
At the moment I’m using blender purely because it is free and was wondering what is ideal software for UE4?
I also have Adobe Photoshop.
Thanks
Well - its mostly down to your workflow and personal preference.
If you are using blender a lot, have experience with it and are more comfortable with it that other tools, then you could argue that it fits into your workflow better than anything else available regardless of price.
That said - If you want to try one of the more expensive options, just to get a taste for what is available, you could get a subscription licence to MAYA LT (essentially a version of MAYA without the rendering functionality etc, catering towards indie game developers) - Its like $30.00 / month or something and I am learning it as best I can at the moment myself - the main difficulty I am personally having is getting the lightmaps to work, and that can be a problem in any toolchain you may choose.
In terms of difficulty, its not much harder than blender.
Exporting to UE4 - It has a “Send to unreal” feature - for doing it easily once you sync up the unit sizes etc.
Price - as stated earlier, around $30 / month.
A lot of people prefer 3ds , I can’t give info on that as I simply can’t afford it!
You wont have so many problems when you use 3ds or maya, but when you know what you have to take care of when you export with blender, everything should work fine with it -> you can find many tutorials about that on youtube (take a look at the two blender livestreams -> on the official unreal engine youtube channel) 
Thanks for the advice - I’m always up for learning how to use new software and if MAYA is fully compatible with UE4, that seems like the best option. I will try and use blender first to create some assets and if it takes to long or if errors occur, MAYA may be the alternative!
Some options.
Carrara 8.5 pro $171.00
://www.daz3d/carrara-8-5-pro
Hexagon 2.5 $19.95
://www.daz3d/hexagon-2-5-download-version
I have not tried either using UE4 so yet to be proven for this use so buyer beware.
Hex does not have FBX support and have doubts as to smoothing groups but does support the Daz bridge to Daz Studio which does have FBX (if you don’t want to use OBJ) but both have a Maya like workflow.
Someone suggested that Epic should look to Autodesk to partner with in making more affordable editing tools but working with Daz 3D seems to me to be a no brainier. If it had FBX and SG’s could be sold on the marketplace tomorrow for twenty bucks. 
Maya is ideal for low-poly modeling, props, and animation, which is what I was trained on. Trying to use Blender after being spoiled with that is a pain. I got Blender to work and made some things in it, but it wasn’t perfect, even for basic shapes. Maybe I need to get used to it some more? Maya has good lightmap UV workflows, mainly due to its ability to automatically lay out UV shells with appropriate spacing for any pixel size texture you wish to use and being able to snap UVs in many ways. The few UV shortcomings in it that I had to deal with were eradicated in the new version. I have no experience with 3DS , so I won’t comment on that.
Yep, blender is a program that needs a lot of time to learn (as it’s pretty different in comparison to other 3d programs)