Property Investment increases ahead of pension reform
Following the recent announcement regarding the Pension Reform due in April, alongside a poor performance in the Stock Market, VitalSpace Estate Agents are pleased to report that more and more people are now turning to property sector to invest.
Recently, we have spoken to a string of new people who have either already joined the buy to let market in recent months or are planning to do so in the coming months. Surprisingly property investment has been a frequent topic of conversation with many people have similar subject matters with matching aspirations – they want their money to generate a greater return.
In recent months, the buy to let mortgage market has relaxed with Lenders slashing mortgage rates and increases product availability. With Mortgage rates substantially lower than even six months ago, brokers point out that with rents remaining stable, these new, lower-rate mortgage deals offer landlords the opportunity to boost returns.
Urmston is a popular area with strong capital growth. The average house price is now close to £215,000 and over the last 12 months, we’ve seen an average price increase of just under 10%. Yields in this bracket will fetch approximately 4.5%.
The location of a buy to let property is extremely important, as it is directly linked with the process of sourcing a suitable tenant. Many landlords like the idea of owning close to home, although this might not always result in the most profitable income option.
One of the areas Investors are seriously focusing on for buy to let investments is Eccles due to the Metrolink, access to motorway network and jobs provided by the nearby Trafford Centre. The demand for private rental property has increased with rental yields achieving closer to 7.0%. Here at VitalSpace, we are finding that the supply of available rental housing is not meeting current demand meaning rental returns will only increase.
If you are thinking of making a property investment, contact VitalSpace for some impartial advice before committing to purchase. We are happy to advise on how the chosen property will meet your objectives.
Whether you are a seasoned property investor, thinking of becoming a landlord or are letting a property for the first time, we want to help.
