Assetz® News » HOME | RSS Feed FEED | LIST ALL ARTICLES | ASSETZ HOMEPAGE
Investment Property News from Assetz

Assetz® Property News Service

Stuart Law, Chief Executive of Assetz, comments on recent research suggesting buy to let investing has pushed UK house prices up just 7%

6th February 2008 | back to article listings BACK    print this article PRINT

"Today’s figures from the National Housing and Planning Advice Unit (NHPAU) have backed our standing opinion that buy-to-let investment has not significantly affected house prices in the UK to the detriment of first-time buyers. With prices reported as only an extra 7% higher due to buy-to-let investment, the benefits of the sector evidently outweigh the disadvantages.

“The economic contribution of the private rented sector to the economy is well documented, and with three million households currently housed by private landlords, it is clear that a much-needed service is being provided by investors putting money into the sector.

“There is already a housing shortage in the UK, and if anything it is getting worse, with a slowdown in schemes being released by developers already occurring and expected to continue over the next few years. Buy-to-let landlords provide much needed off plan pre-sales to developers - something first-time buyers are reluctant to do. If buy-to-let landlords didn't buy from developers early on, before schemes are built, there would be far fewer schemes delivered, leading to an even greater housing shortage.

“Assetz is still seeing substantial demand from buy-to-let investors for the right schemes, in the right places. These are generally low-cost one and two-bedroom apartments with reasonable rental income, in city centre locations, which contrary to popular opinion, remain in very high demand as opposed to being over supplied.

“We also concur with the recent RICS quarterly letting report, which predicts that apartments are likely to see the greatest rental growth over the next year or two. Most rental households require one or two-bedroom properties, so this is the type of product most investors are buying. First-time buyers are increasingly moving away from rental to purchase larger properties as their first proper home - another reason why investors are not competing directly with first-time buyers."

 

 

 

Assetz® is a UK and International Property Investment Specialist. Please visit our property sites shown below.

Assetz for Investors UK Assetz France Assetz Spain Assetz Cyprus Assetz Bulgaria Assetz Germany Assetz Canada Assetz Portugal Assetz Ski Assetz Cape Verde Assetz India Assetz Finance Assetz Fund Management

Accessing the news service

You can view all of the Assetz® UK, International and UK Property Investment Articles and News here.

We also provide an RSS Feed Feed of the news service, or you can view all articles. Click here to view more information on RSS readers and how they make reading online news more convenient.

eXTReMe Tracker