Tag Archives: real estate investing

Property Hotspot

Want to know the best Property Hotspots?

As investors we are always on the look out for the next property hotspot. But would you have guessed on Bristol being the number one UK property hotspot? In fact, the number of homes sold in the Bristol postcode surrounding Avonmouth nearly doubled in 2014 from the previous year. Are Britain’s latest property hotspots developing into regional house-price bubbles? Well it is looking that way. Avonmouth, next to the Royal Edward Docks (a vibrant area that has benefited from extensive regeneration) was the district with the biggest increase in transactions last year, as sales jumped 94.5pc in 2014, according to new analysis from property agents Hamptons International.

The number of sales rocketed 128 to 249 over the year and house prices grew 21.1pc, double the rate of the national average. In the Hamptons 2014 index of British postcodes by transaction volumes, neighbouring Redcliffe in Bristol city centre came second with sales up 93.2pc last year. It’s all about Bristol!

There has been a huge growing demand to live in and around Bristol. So what are the reasons for this desire to live in Bristol? Maybe because it’s one of the UK’s leading tech scenes. Possibly the relatively large number of new-build developments and high use of the Government’s Help to Buy scheme. For investors, Bristol could be the place for capital growth.

Other UK property hotspots measured by the rise in the number of property sales, included Langdon Hills in Basildon, Essex, which came third in the ranking. Parts of Leicestershire, Cambridgeshire and North Dorset also recorded huge increases in transaction levels. Cardiff also featured in the top ten UK property hotspots, which only studied postcode districts in which there were more than 100 sales in 2013.

Focusing on areas in and around London, Greenwich, Croydon and Dartford all reported an increase in sales too, landing in the top 20 areas by increase in home sales in 2014.

With the extortionate high prices of central London property, these boroughs on the outskirts of London have benefited from those moving out from the centre. High prices for zones one to three for London transport could also be a major factor for first-time buyers buying in Croydon rather than Clapham.

Buy To Let Property By Barrington Howe

Buy to let property on the increase

Buy to let property Investors on the increase! After the last property market crash it seems that the property investor is on the rise again. The number of buy to let property investors in the UK has reached 1.6 million in 2014 according to Her Majesty’s Revenue and Customs (HMRC). This represents an increase of 120,000 from the previous year.

After looking into various sectors of property investment, research found that student property was considered the best and most popular investment opportunity. Approximately 1 in 8 claimed that should they choose to invest, their preference of choice would be in student accommodation. 10 per cent would choose to invest in retirement property, whilst 9 per cent preferred holiday homes. However, this research did not take into account alternative investment or fixed rate investments where the investor did not own the asset. Having raised millions in fixed rate property investments over the years, we can see that there is an increase in property investments as a whole not just in the buy to let sector. Confidence is increasing over time.

However, despite the growing numbers reported by HMRC, certain concerns have been identified, with 36 per cent of UK adults stating that it is too risky to be a buy to let property landlord. Confidence in property investment was also shown to vary across the UK. The highest percentage of investors believing the market will boom was from London at 39 per cent. The next highest was West Midlands with 38 per cent. However, optimism was much lower from those surveyed from the North East and the East Midlands. They showed only 21 and 26 per cent respectively believing that the market will continue to grow. The proportion of optimism seemed to be lowering the further you travel up the country.