Why new landlords and investors are eyeing up UK property?

There has been an onslaught in the number of new landlords and investors, both from overseas and in the UK, looking to buy property in Britain.

Research by financial and insurance services giants Legal & General shows that the number of people looking for buy-to-let property is booming, with first-time investors and landlords at the forefront of the demand.

Since the beginning of September, Legal & General has seen as sharp spike in the number of people searching for phrases such as “first-time landlord” and “first-time buyer.”

Reflecting the demand for staycation holidays in Britain, “holiday lets” is another popular search term on Legal & General’s website.

Part of the market’s appeal to overseas investors is owed to the British pound continuing to perform low against the dollar. With the value of the pound falling, investors see property in the UK as a “safe haven” compared to other markets.

Another reason for the spike in interest in buy-to-let among first time landlords and investors is due to mortgage rates remaining extremely low. With profits and bottom-line income being directly affected by borrowing costs, low mortgage rates make buy-to-let inherently more attractive, especially to first-time investors who may be ‘nervous’ about investing or operating on tight profit margins.

The stamp duty holiday has also influenced demand for buy-to-let. Property portals and agents have seen a surge in enquiries and purchases in buy-to-let since the Chancellor announced the temporary stamp duty holiday on residential properties worth up to £500,000.

If you are thinking about investing in property for buy-to-let for the first time, or are looking to take advantage of the current climate of low mortgage rates, the stamp duty holiday and the low-performing pound, buying at auction could be the perfect way to snap up a bargain property.

Check out the properties we have listed for our forthcoming property auction. You never know, your dream property investment in the UK could be one of them!