UK Buy to Let Market sees Increase in Overseas Investors

20 October 2012 Categories: News

UK Buy to Let Market sees Increase in Overseas Investors

According to the Bank of England, overseas property investors are becoming increasingly attracted to the residential side of the UK buy to let market. It is thought that investors are staring to notice the on-going high tenant demand and the potential rental yields on offer, and especially in areas of Outer London and the surrounding counties.

Until recently, overseas investors have tended to concentrated on the commercial side of the property market however the growth of the buy to let sector has now sparked their interest. It was recently revealed that Hackney is now one of the most lucrative areas of London, offering yields in excess of 6%, and with falling house prices being experienced in many areas of the country, including Inner London, it is understandable that investors, both home-grown and from overseas, are looking at the market in a new light.

A spokesperson from the Bank of England said, “Foreign investors have branched out of commercial property in the capital and begun also to invest in the London residential lettings market”; a move that shows just how buoyant and potentially profitable the UK buy to let market is at the current time.