Rental rates around the UK have hit new records, the average rental price has now reached an all-time high of £761 per month according to LSL Property Services buy-to-let index.
One of the highest increases was seen in the North West, a 3.3% annual rise in monthly rental prices occurred as yields now reach 7.1%, the highest rate in the UK.
Average rents in seven out of 10 regions were higher than a year ago, suggesting increased return on investment for buy-to-let property investors. Property investment has grown in popularity over the past year due to rising house prices which forces property buyers to look at rental accommodation as a more affordable option.
Buy-to-let investors now also benefit from the cost of buy-to-let mortgages falling, making property more readily available for potential landlords.
The number of options of buy-to-let mortgages has also increased due to the investment type’s popularity, people looking for loans are now faced with a range of different loan options including varied interest rates, benefits and initial cost.
The survey was carried out in September 2014 however David Newnes, director of Reeds Rains and Your Move commented, “Autumn is when more people take up new opportunities, to build new careers and start new chapters. This is what the rental market is all about for many people by providing flexibility and its what it does well -at a cost that’s risen in line with inflation for at least half a decade.”
This suggests that now is the time to invest in property, there will be an increased demand for housing as people normally move locations during this season. Investing now should also see a continued high return on investment over the autumn/winter period.
If you are unsure how to approach investing and need more advice Mistoria can help you. As specialists in property investment we are able to offer advice on which of our investment types would suit your needs. We currently have offerings available around the North West, for more information please call us on 0800 500 3015 or email us at email@example.com.