London still top for property investors, but Luton more affordable
- 29 Mar 2019
- In the press
The UK property market has demonstrated its potential to deliver strong investment returns over the decades, and new research shows the buy-to-let sector is still in good health.
As outlined on the Landlord Today website, nearly four out of ten investors (39 per cent) surveyed by Experience Invest had plans to increase the size of their portfolios in the coming year, compared to only 11 per cent who were intending to reduce their holdings.
More than a third (35 per cent) of respondents had no intention to buy or sell property in 2019.
As far as destinations are concerned, London is the most popular city in the UK for real estate investors. However, the capital has one significant drawback for many buyers: affordability.
For those currently on the lookout for buy-to-let opportunities in the Greater London area and south-east England, there are much lower prices to be found in Luton, which also featured among the top ten UK destinations for property investors in 2019.
Luton is recognised as one of the key hotspots in the London commuter belt, with much lower housing and living costs than the capital itself and easy journeys into the city.
High demand for rental property in Luton means developments such as Imperial Square offer excellent prospects for strong yields and capital growth.
The Experience Invest research highlighted some other interesting regional trends, including the popularity of the north-west for buy-to-let investment. Manchester was second in the list of most popular destinations for investors, while Liverpool was third.
Jerald Solis, business development and acquisitions director at Experience Invest, said: “The north-west has established itself as something of a ‘hotspot’ for buy-to-let investors, with cities like Liverpool and Manchester providing strong rental yields and healthy capital growth.
“Luton also remains the top London commuter town for property investment, offering some fantastic new-build investment opportunities for landlords.”