Greycoat real estate specialists inform how the recent report released by the Telegraph reveals a growing trend among landlords based in London. Many landlords are choosing to invest in properties in the north of England for more lucrative opportunities.
According to the report, approximately 66% of London-based landlords and buy-to-let investors have purchased properties in other parts of the country, indicating a significant shift away from London as an investment hotspot. Greycoat adds that the northern regions of England have particularly benefited from this trend, now constituting 24% of all purchases made by London-based investors.
This increase in property purchases in the north has been exponential, rising from a mere 1% a decade ago. Greycoat real estate agency adds that the shift in investment can be attributed to the increased taxes imposed on landlords in London. These taxes have significantly impacted the profitability of the rental market in the capital, leading investors to seek alternative investment opportunities.
The North, with its lower house prices, has emerged as an enticing option for investors as it offers the potential for higher profit margins. At Greycoat Real Estate, we have a deep understanding of the North’s real estate market, and we have identified numerous exciting opportunities for our clients.
By redirecting their capital towards the North, investors can take advantage of the growing market and seize opportunities for greater returns on their investments. According to the head of research at Hamptons, the North East region in particular offers great investment potential, with rental yields of 9.1%, compared to 5.6% in London. At Greycoat, she suggests that an investor with £100,000 could potentially acquire one or multiple properties in certain northern areas, which may not be feasible in the south.