#SaturdayShare — PROPERTY INVESTMENT REGIONAL OUTLOOK

Hi everyone, hope you’ve had a fantastic week. In this article, you will find useful information, tips and guidance around investing in property in the UK, and business. Here’s what I want to share this week:

Regional outlook and guidance on choosing your property investment area

UK REGIONAL OUTLOOK

Choosing the location of your investments along with the tenant demand are two of the most important things to consider as part of your Buy-to-Let (BTL) investment. Smart investors want to know which area’s are performing as the hot-spots for rental demand or which areas/locations could be a potential for the future investments.

Whilst you can invest in Buy-to-Let’s anywhere in the country, some area’s work better than others in financial terms. Locations such as London carry a premium and a BTL investment in London may only yield around 1 or 2%. Most investors in London choose to invest in the Midlands and North due to increase in regional development, inward investment and most importantly, better returns on their money.

MIDLANDS

Locations such as Leicester, Nottingham, Coventry, Birmingham and Derby are increasingly becoming a popular choice for many investors in London. The Midlands plays a huge role in the UK economy with Manufacturing at it’s core, and the government investing heavily in the growth of these cities.

The East Midlands has the fastest growing economy of any region in the UK according to the latest report from Ernst & Young in Feb 2020 thanks to its central location and unrivalled links to the rest of the country.

Leicester has seen some of the highest amounts of capital appreciation in the last year with an increasing amount of inward investment from the international authorities such as the European Space Agency, and it’s central location to two of the largest industrial parks in the country means it plays a huge role in the supply chain.

The East Midlands airport is the busiest ‘pure’ cargo airport in the UK and serves as an important international link for supply chain.

Properties in Leicestershire & Nottinghamshire currently provide excellent returns on cash with strong projections on the growth of property prices over the next few years. With a commute of just 1 hour from London by train, these locations are easily accessible for commuters and attracts talented professionals, workers and families seeking affordability into these cities.

THE NORTH

The northern cities of Leeds, Liverpool, Sheffield, and Manchester represent a popular choice for many investors where property prices are much lower and the areas are hugely popular with tenant demand.

The property prices have rose up to some of it’s highest levels in the last 12 months and with the increase in rental yields, these area’s attract investors from London due to it’s attractive affordable prices.

The North-west region has seen particularly higher inward investments and represent a huge opportunity for capital growth over the next few years.

LONDON

The capital city is the financial centre of the country and represents some of the most expensive housing stock in the country.

Investing in London has a huge benefit in terms of capital appreciation, and is a great way to ‘park’ the cash if it isn’t required for a long term. Even with some of the lowest returns on cash, investing in London will still provide a better return than the highest paid ISA savings account.

I hope this has been an interesting read. Let me know your thoughts and comments below.

Have a phenomenal day and week ahead!

Thank you for reading.

Manit