Property is the highest yielding investment in the UK

PUBLISHED ON Sep 20, 2016

For investors looking to add value to their portfolio, UK property remains the highest yielding and resilient of all assets.

Summary:

  • When looking to maximise yields, investors are wise to purchase UK property over other portfolio stalwarts such as stocks and shares
  • Many international investors see the current climate as an opportunity to purchase property below market value due to the falling pound
  • Demand is outpacing supply in regions across the UK including the north and midlands

UK property remains the highest yielding investment – and it’s becoming the “new norm”.

A growing number of investors are choosing to invest in property, despite the introduction of higher stamp duty purchasing costs and uncertainty around the recent Brexit vote, according to one of the UK’s leading property auction professionals.

Investors continue to be drawn to property, including build-to-rent, as the returns routinely outperform those of other investments, including UK government bonds, cash, as well as stocks and shares, as Auction House’s Founding Director, Roger Lake, explained: “A new norm is being created out there.”

Whilst acknowledging that some investors remain cautious, Lake pointed out that there are plenty of investors that view the current climate “as an opportunity” to invest in property.

“Property continues to be the highest yielding investment on offer to the general public. Demand in our northern and midlands sale rooms has remained strong throughout, and we are reporting good success in Scotland too.”

A number of Europeans have moved to secure UK property while assets are below market value following a significant drop in pound sterling. There has been a shift in investor sentiment towards lower risk opportunities that offer income yield following the vote for Brexit, with many investors targeting properties in the UK.

Source: Select Property Goup