UK investors to grow property portfolio

Despite economic uncertainty the majority of property investors plan to continue to use their portfolios to generate an income, while more than 50% intend to buy more properties in the year ahead. Among the most seasoned property investors, more purchases are in the pipeline, with 68% of those with more than five properties in their portfolios hoping for more opportunity in 2023.

More Opportunity

2023 will offer a rise in property investment possibilities for those in a position to take advantage of them, due to the fact that 23% of investors with less than five properties in their portfolios stated they may sell due to rising interest rates.

Capital appreciation is predicted to be quite minor across 2023, with prices falling between 5% and 10% on average (although the forecast varies across research centres). There may be more properties available for investment, which will be followed by a growth of “2% in 2024 and 4% in 2026” growth.

Tenant demand continues to rise in the rental market, resulting in fewer void periods and higher rental yields for buy-to-let investors.

Location

As with any asset, there are risks involved, but these can be minimised by property investors opting for optimum locations and property types, as well as by adopting a long-term view of the market.

Most cities in the UK have towns and villages within them that provide great returns. For example, heavily student populated areas always provide high yields- Leeds, Nottingham, Liverpool, Manchester and Newcastle are all great examples of this. Also, any city with strong economic investment such as Bradford will have a great ROI due to the increase in demand because of a higher population. Bradford are due to be the 2025 city of culture

Being named City of Culture brings millions of tourists and major investment to the cities and towns that get this coveted title. Following their year as City of Culture, communities feel more happy, motivated, and proud of where they live. Previously, Hull’s designation as the UK City of Culture boosted the city’s economy by drawing more than five million visitors, £220 million in investment, and 800 new employment.

Alternative Options

A great alternative for this is to utilise a property sourcer. A property sourcer can provide you with a great ROI. This is because of their market knowledge and expertise of the local property market.

Often property sourcers will offer a NET yield between 8-10% however, at Valor we offer a minimum 15% NET yield but in many cases achieve much higher. We have a proven track record of achieving our investors a very good ROI. Our 13-years market experience has given us the right market knowledge, network and the ability to understand our investors business model and their needs.

We benefit both seasoned investors and first time investors, if you need assistance get in touch now;

☎️ 0113 222 4537

📧 info@valorproperties.co.uk