September 29, 2011
Overseas Investors Eye UK For BTL
In a new report, courtesy of UK property investment firm Assetz, UK buy to let criteria stands almost at the top of its class on a global scale. Poland stands ahead at the number one spot with a 165% return in cash investment, followed by the UK 63%, Bulgaria 54%, France 51% and Turkey 45%.
"This latest research suggests that many investors will be keeping their money closer to home in 2007, benefiting from continued strong and sustainable housing market growth in the UK," Assetz noted.
"The six major UK house price indices show an average of 9.8 per cent annualised growth for the twelve months to February 2007, primarily as a result of the continued imbalance between supply and demand.
"The UK remains a low risk investment destination. Despite recent interest rate rises, purchasing costs remain low and the prospect of avoiding management costs through self-management, which is attractive to investors and not generally possible for overseas properties."
Stuart Law, Assetz managing director added: "As first-time buyers are increasingly priced out of the market demand for rental properties is likely to rise, providing a strong basis for buy to let investment.
"The overall shortage of homes is set to drive house prices in the UK up by eight to ten per cent in 2007 and 2008, encouraging investors to take a long-term view and benefit from strong capital gains despite historically low yields."
