Promising Yields Prompt A New Wave of Interest in Property Investment
In an era where most savings accounts are offering consumers impossibly low rates of interest, more people than ever before are looking into alternative savings and investment options. On the plus side, the lowest interest rates in recent history are opening up endless possibilities for those with an interest in property investment. What’s more, demand on a national basis is allowing property investors to generate extremely healthy returns, far over and above those of most conventional savings and investment options.
Bridgingloans.co.uk is one the UK’s leading service providers, helping to fund these investment opportunities with specialist funding solutions.
Up and down the country, recent months have seen a significant spike in interest from investors in the purchase of quality property inventory, for the purposes of residential lettings. Particularly in areas of the country where purchasing a property simply isn’t a realistic possibility for most, demand for quality rental properties is nothing short of explosive.
“Residential property is still in high demand, with lettings at an all-time high,” commented Russell Martin, managing director of Finance 4 Business.
“Especially in [the] South East of England, it is extremely difficult for first-time buyers to get on the property ladder,”
“Taking advantage of the low interest rates on offer, investors can let out property, producing higher yields than that of bonds and property funds.”
Traditionally, while property investment may have represented an attractive prospect, many have found themselves out of the running for financial reasons. In many instances, conventional banks and lenders are of very limited value when it comes to buy-to-let property investment. Complicated loans with binding long-term agreements, excessive delays and enormous rates of interest have made the buy-to-let market difficult for most to access.
However, the rise in alternative financial solutions specifically tailored for such purposes is allowing more interested investors than ever before to gain access to the market and take home potentially impressive returns.
“With many new lenders, financing opportunities, products for prime and adverse investors, liquidity is not such a major issue,” Martin continued
“Investors are far more savvy, following the financial crisis, therefore [they] can manage a portfolio better than before,”
“Many see property as a way of making good returns, hence you are seeing a wave of new investors in this sector.”
While property investment and letting isn’t a suitable course of action for everyone, there are thousands up and down the country for whom this approach to investment could represent an ideal secondary revenue stream. And of course, for those already in the property lettings game with growing portfolio, there has never been a better time to consider expanding further.
The current low interest rates are expected to remain for the immediate future, though will certainly not be around forever. As such, those interested in taking advantage of this golden era for property investment are advised to do so, sooner rather than later.
The team here at BridgingLoans.co.uk can help advise on the most affordable and accessible financial solutions for your needs – we’re waiting to take your call.