For many investors that have the right amount of capital, property investment is a fantastic long term and secure investment strategy. Not only is it much more attractive for hands-off investors that want less risk involved that with something like stocks, for example, but through methods such as buy-to-let investment you can actually start making a consistent return on your investment right away through rental payments.
By using technology to their advantage, even in a time like now where we’re all trapped inside due to the ongoing pandemic, international investors can still get involved with and benefit from overseas markets. With its vastly different areas beginning to experience huge investment and development projects being undertaken for the future, the UK is one of the best places to invest currently. Want to learn more about the developing UK property investment market? We’ve broken down three key cities that are certainly worth paying attention to going forward.
One of the most instantly recognisable cities in the entire world, it’s difficult to write a list about UK cities and not include London. Being not only the capital but also the tourism hub (and the city with the largest population by far), it is obviously going to attract a lot of attention, and property investors coming from overseas will often look here first.
However, unless you’ve got a lot of money to spare and don’t mind being in it for the long haul before even starting to see some of that money back, London is a pretty stagnating market, with a high barrier of entry in terms of house price cost and also some pretty low rental yield returns. That isn’t to say that it isn’t worth investing here at all if you have the right amount of capital available, but if you’re looking at building your income through starting a portfolio then you could kickstart your investment much better if done correctly in a city further north than London.
Something that you’ll quickly find out as an investor looking at the UK market is that the North West region is currently dominating in terms of house price statistics, affordability, house price growth potential and even rental yield averages (resulting in the amount of money that you will get back on a regular basis from rental payments).
With regeneration projects all throughout the city, from its huge tourism undertaking on the waterfront to the booming tech hub in the Baltic Triangle sector just outside of the city centre, its an exciting place to be for young people and graduating students at the moment, and this means for investors that the tenant demand will be high. RWinvest, a property investment company with offices in Liverpool (as well as London and Manchester), have a ton of different comparative guides on Liverpool versus different areas if you want to find out more.
Not far away from Liverpool and another Northern giant of a city, Manchester is again enjoying development and investment, and in many ways was the hotspot before Liverpool, still remaining an attractive prospect for investors that look towards it as being the UK’s ‘second city’ (or northern capital). With a huge student population (one of the biggest in Europe) and also a huge retail complex, it remains a brilliant option for investors that love the area, if you can manage to find a property there for a good price.