Rising rents and unprecedented demand – is now the time to get serious about buy to let?

According to Savills, rents will rise by 20% by the end of 2016, outstripping house prices which are expected to rise by 6% over the same period. With such attractive returns on offer, should investors think about expanding their portfolios?

 The report from Savills expects the average rental yield to be 6.1% by 2016.  However, despite these attractive potential returns, they also predict that the private rental sector will struggle to deliver enough stock to satisfy demand. 

 These forecasts bode well for those wishing to purchase their first buy to let property or grow their rental property portfolio. In support of these findings Countrywide, the UK’s largest lettings and property services Group, has reported that tenant demand for each property on its books increased by 10.8% in Q3 2011 compared to the same period last year. 

Countrywide also found that the number of viewings for each rental property increased by 17.8% compared to the previous quarter.  According to John Hards, Co-managing Director at Countrywide Residential Lettings, the increasing availability of competitively priced buy-to-let mortgage deals has helped to make property investment an increasingly attractive option. 

All of these findings are good news for buy to let investors and could tempt you into thinking that buying a property to let is an easy way to make money.  However, whilst there are opportunities to benefit from this increased rental demand, buying a property to let should be researched thoroughly.

 If you are thinking of investing in property here is our pick of some suitable options:

 

This 3 bed property in Devon is an ideal investmetn wtih the potential to achieve an approximate gross annual rental yield 6.4%

STAMP DUTY EXEMPT. Ideally suited to a family this semi detached property situated close to the town centre of Paignton.

 

With the potential to achieve a rental income of approximately £595 per month and a rental yield of 6.8%. This two bedroom 1st floor apartment located in Kesgrave, Suffolk would make a sound investment. Private parking and no onward chain.

This one double bedroom first floor flat situated close to Earls Court tube statin with reception room, sperate kitchen, bathroom and large store cupboard presently achieves an excellent rental yield. It would make an ideal investment property.

 
avatar
Posted by: Nicola Severn Categories: Uncategorized Comments Off on Rising rents and unprecedented demand – is now the time to get serious about buy to let?

Comments are closed.