Reasons to invest in UK property
The latest census shows the UK’s population has increased by a record 7% (4 million) in the last decade to just over 63 million – which is almost equivalent to adding the entire city of Manchester every year.
In the next 20 years the number of UK households is expected to reach 28 million – an increase of around 250,000 households each year. During the same period, single person households will increase by a further 3.2 million – accounting for 20% of all households – placing an even greater demand on available housing stocks.
The UK is now more crowded than any other major country in the EU or G8. With 402 people for every square kilometer, our population density is four times that of France and in the next 20 years will be double that of Germany – a country, which is almost three times larger ours.
The latest Government estimates suggest that around 232,000 new properties need to be built in England every year just keep pace with demand, however the number of new homes being built is now at the lowest levels since the 1920’s.
Since 2002, demand for rental property has almost doubled. Recent forecasts suggest that by 2016, one in five UK households could be living in rented accommodation, resulting in a requirement for an additional 1.1 million rental properties in the UK.
Rental properties currently account for just 11% of the total housing stock, which is great news for buy-to-let investors.
Top 5 reasons to invest in UK buy-to-let property
- Politically and economic stability
- Record levels of population growth
- Housing supply at 100-year low
- 20% of population will rent within next five years
- Rising rental yields.