According to the latest House Price Index from the website ‘Home’, we can rest assured that there’s an optimistic outlook for landlords and buy to let investors across the UK. Across the UK there have been reports of rising rent and lack of supply – even though many Airbnb properties have come back to the market following lockdown. For this reason, reports show that supply is up by an incredible 30% compared to the same time last year.
Whilst rents are rising across the UK, rent in London is actually falling and is currently down 5.2%. The report shows that in northern regions of the UK, annualised rises are around the 10% mark and this, combined with the capital gains to be had in these sales markets, there is likely to be further BTL investments.
At present the value of the pound is relatively low and the Stamp Duty holiday – with the threshold raised to £500,000 in England and LBTT raised to £250,000 in Scotland, is a significant draw to property investors and in particular for foreign investors and expats.
The Stamp Duty surcharge will go back to pre lockdown levels from April 2021 and so many people considering investment will bring plans forward and invest in the next six months.