In these times of economic change, investors look for the best and most advantageous way to invest their cash. Property has always offered a great investment opportunity. Property investment is seen by many as the best way to produce long-term financial security and yield a great return. The UK housing market is one of the most exciting in Europe. House prices have grown faster in the UK than any other European country. Here are five great reasons why property is a good investment:
The housing shortage
The housing shortage offers the savvy property investor real potential. The UK is a crowded country and needs to build more houses to satisfy the ever-increasing population, along with a number of social and demographic factors. This demand for property will, by default, drive up property prices in the near future. Buying property now will ensure that you are a beneficiary of this property deficit.
High rental demand
Currently, the demand for quality rental property outweighs availability. The media is awash with reports on a future society that will only rent. This is not just because of rising house prices; more people want the mobility and flexibility that renting allows. This is great news for the potential landlord. Buy-to-let properties are let quickly and easily, especially in high-demand locations. In addition, rental incomes look to be rising steadily.
A weaker market works for property investment
Brexit has created some instability with the pound, but it has also created opportunity. For the first time in some years, house prices have receded slightly. This makes it the optimum time to purchase a property. With values sure to rise soon, buying now almost guarantees a return on your investment. This, coupled with excellent mortgage rates, offers potential property investors a great deal. With a healthily sized deposit, borrowing money for a property is exceptionally cheap.
Investing in the UK and your future
Property investment offers much to a potential investor. It can produce a steady income for retirement or it can offset a child’s university fees. Likewise, with the UK becoming more connected with the planned HS2 rail network connecting the major UK cities, property investment is not confined to one geographical area. Using a nationwide property developer to invest in property will help to guide you in the range and availability of property across the UK. Property offers security for you and your family’s future. So whether it is early retirement, a pension or your children’s future, property is a stable investment.
Better than the bank
Interest rates remain low and savings sat in the bank are producing very little return. Property purchases and buy-to-let can offer much higher yields. Houses remain a great choice for the risk-wary investor because your investment is tangible: it is bricks and mortar and will always be in demand.
In addition, property can be improved with repairs and renovations. This can increase the value in terms of resale or rent. You have no control over bank interest rates and, therefore, over how your money works. Property gives you back that control.
Investing in property: the safer foundation
In terms of property investment, the UK faces record levels of population growth while housing demand far outweighs the current supply. It is estimated that a record 20% of the population will rent in the next five years. This suggests that rental yields will rise accordingly. This is positive news for the potential property investor and investing with Blackmore will help to provide you with security and excellent financial returns.
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