View all articles
A few years ago, London was a hotspot for landlord investment, but a UK finance body has published figures that suggest London’s star is fading fast. Landlord investment in the capital has fallen by over 50% in the last year.
On average, there were around 2,500 properties bought with a landlord mortgage during 2014 and 2015. By the first quarter of 2017, this figure had dropped to 1,126.
*****Whoops! Looks like this is an old post that isn’t relevant any more :/
*****
*****Visit the blog home page for the most up to date news. *****
Landlords Desert London
There are many reasons for the fall in landlord investment in London. Property prices have shot up in recent years and the capital is now one of the most expensive places to buy a property in the world. This pushes most landlords out of the frame. Tax changes and a hike in Stamp Duty have also made investing in London less attractive. These factors, combined with economic uncertainty in the wake of the referendum vote to leave the EU, have all combined slash rental returns for landlords in London.
Landlords Love Manchester
Further north, in Manchester, the situation couldn’t be more different. There, property investment by landlords is booming. Landlord investment in the city has dropped slightly, but nowhere near as sharp as seen in London. Manchester is in the middle of a property building explosion and rental yields are high. Manchester also has a large student population, which is a profitable niche for experienced landlords. The BBC has created thousands of new jobs in the city, so demand for rental homes is high.
