The UK property market has been undergoing large shifts, due to many factors like changes in legislature, stamp duty and new technology. Property investment is no longer for just the extremely wealthy and affordable property investment opportunities are attracting a new kind of investor.
Property is considered a safe bet by many UK investors, who typically enjoy having brick and mortar assets. Recently there has been an increase in affordable properties that are perfect for buy to let property investment. For new investors, affordable investment opportunities provided by firms like RW Invest are perfect for an entry into the world of property investment. From student properties in bustling city locations to off-plan investments in brand new developments, there are an increasing number of affordable options. For less than £60,000, investors can purchase sought after buy to let properties in a range of UK cities. Many of these cities in the North are benefitting from large investments in infrastructure like the Northern Powerhouse Project. These Northern properties have incredibly affordable house prices, less than half of the UK average, allowing people to invest with less initial capital.
Easier Access to Property Investments
The online property market has provided access to UK properties for potential investors from a wide range of backgrounds. Investors from abroad are snapping up opportunities to invest in the growing UK property sector, with affordable opportunities a great way to start in the market. The internet has provided access to show apartments for off-plan projects, online 360 tours of apartments and round the clock access to property information.
An Increasing Range of Properties
Another factor has been an increase in the variety of properties available. Smaller properties like studios and apartments allow investors to get hold of valuable city centre property at a lower price. Properties such as new build apartments, renovated studios and one-bedroom flats are easier to access by these new potential investors. Larger investors have been using a multi property strategy, investing in different types of properties, including apartments and studio accommodation. The diverse range of properties available for buy to let investment caters to a range of different tenants too. From young professionals to recent graduates, the demand for city centre rental property is huge.
With lower initial costs, investors have seen huge returns on investment. Apartments have been one area that has experienced a huge rise in value in the past five years with increases of £1251 per month adding up to a huge £75,074. Property continues to be a sound investment, and an increasing number of people are looking to enter the market with an affordable property that provides monthly rental income, as well as the potential to grow in value.
Though it has had its ups and downs, the UK property market continues to attract new investors. There is an increasing demand for rental properties and potential returns of 7-8% a year. Compared to other investments, the UK property market has remained on a steady course, with growth focussed around UK city centres.
Nicole Hicks a graduate of UFT. She’s based in Toronto but travels much of the year. Nicole has written for NPR, Motherboard, MSN Money, and the Huffington Post. Nicole is a financial reporter, focusing on technology, national security, and policing.