Interestingly, the best place to invest in buy-to-let property has been found to be Colchester in Essex.
LendInvest’s Study and the Interesting Results
As found by a new study, when sale volumes, capital growth, rent increases and rental yields have been factored, Colchester is the best place to invest in property. LendInvest carried out the study that showed that the town offered, on average, growth in sale volume of around 2.79%, rising rent of 3.41% capital appreciation of around 9.98% and yields of 3.17%.
A Buy-to-Let Investment Hotspot
After all these categories were taken into consideration, Norwich, Rochester, Brighton, Ipswich, Manchester, Birmingham, Luton, Leicester and Northampton were all beaten by Colchester. Though all these other places made the top 10.
The Lettings MD for Leaders, the property specialists, Allison Thompson, said that although there are considerable benefits to buying property with a view to letting, one of the biggest challenges faced by the majority of investors is choosing the right location to yield the required returns.
Why Is Colchester The Best Place To Invest?
Colchester has a very busy housing market, high growth in capital and competitively high rental prices. The town is an ideal place for landlords that are looking to greatly expand their portfolios, Thompson noted.
She continued by pointing out that all investors are different from one another, and although some prefer prioritising overall yields and rental returns, others find it more beneficial to focus more on capital growth in the short term. Regardless of the overall objectives, it is always best to work with reputable, locally-based agents that can provide insider and specialist knowledge and understanding of a market and assist you in finding those gems,
It wasn’t only Colchester that had experienced a strong increase, with the south-west and Midlands performing especially well with regards to the growth of house prices over the last two quarters. Birmingham and Truro were two places that recorded the large improvements.
