North takes lead in buy-to-let

Amanda Jarvis

May 24, 2006

The poll revealed that over 70 per cent of investors are relying on buy-to-let for their future wealth, with less than 2 per cent opting for stocks and shares. Buy-to-let not only provides guaranteed rental income but, in the long term, strong capital growth can also be expected. With the housing market having resumed its upwards path once again, property has become the first choice for those who have realised they can no longer rely on their pensions or stock market investments to guarantee their future rental income.

The survey also revealed that 33 per cent of investors selecting buy-to-let for their future wealth generator are relying on the North, while 30 per cent are relying on overseas investment opportunities, including the emerging markets in Eastern Europe and the traditional markets of Spain and France. Around 22 per cent of investors have selected London, and 15 per cent the South.

Trisha Mason, founder and managing director of VEF, commented: “Property can only form a sensible part of an investment portfolio if you are sure that the investment is safe. Stocks and shares will fluctuate, but property is a physical asset which is not only capable of generating future capital growth, but also capable of generating present rental income.”

Nick Clark, managing director of The Property Investor and Homebuyer Show North, commented: “The results of our survey have confirmed that buy-to-let offers excellent rewards for anyone who is serious about property. While pensions and shares have proven a risky option in recent years, the property market is bubbling once again and in the long run can bring in excellent rewards. Across the UK, many investors are putting their confidence in the Northern market for their future wealth. With high levels of regeneration and investment across the main cities including Manchester and Liverpool, the number of buy-to-let options available for investors is on the increase.”

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