6 March 2017
6 March 2017,

When looking for buy-to-let property for sale, many investors immediately think of London. After all, experts predict 60% of the capital’s population will be renting by 2025, and the average monthly rent in London is currently around £1,246. Unsurprisingly, property investors want to cash in on the captive market, not to mention the potential to make a good monthly income.

However, property prices in the capital are climbing at a slower rate than many other parts of the UK, leaving investors wondering whether investment properties in London really are the best option. Here’s more information.

Fastest Property Price Growth in the UK?

According to recent statistics, London house price growth has dropped to its lowest level in four years, and is now currently in eighth place on Hometrack’s index. Bristol took the top spot in January, with a strong 9.5% annual increase. Following closely behind was Oxford, where property prices grew by 9.2%, and Manchester, with an 8.3% growth.

Other cities that performed well last month included Liverpool and Birmingham – proving that looking for buy-to-let properties for sale in the North and the Midlands is certainly something that investors should consider.

Time to Write Off Investment Properties in London?

Understandably, the falling prices in London are making investors wary. Part of the capital’s attraction in the past has been its potential to offer excellent capital growth – and if prices continue to drop, investors may experience a loss.

Experts state that this is unlikely to be the case. London property price growth has slowed in recent years, but economically, this is unsurprising, given both the political climate and the prohibitively expensive costs in some areas. Most property investment agents agree that the city should start to recover in the future, and that investing in London properties is still a shrewd move.

Where to Invest?

If you’re considering investing in property in the UK, it’s important to identify the right location. Buy-to-let property for sale offers two potential income streams – monthly rental yield and capital growth. In an ideal world, you should look for a town or city that offers both. Here’s a few things to consider:

  • How long are you prepared to invest for? If you’re looking to sell the property on quickly, this will dramatically affect your potential to make money from capital growth. However, some areas are experiencing rapid price growth at the moment, so it is possible. If you’re looking for a quick turnaround on your profit, it’s advisable to talk to a property investment agent.


  • Is demand strong? Find out what percentage of the city’s population currently rent. Identify which areas of the city or town they’re drawn to, and how much (on average) landlords are making there. In short, do your homework before buying.

The Buy2Let Shop in Bromley

If you’re looking for advice about investing in property in the UK, talk to The Buy2Let Shop. We’re a team of expert property investment agents in London, with extensive knowledge of the London property market, and indeed, buying houses across the country.

We also offer assistance with buying a house at auction, and host regular free property investment seminars, designed to help you invest wisely and enjoy a good ROI. To find out more, visit The Buy2Let Shop website today.

Leave a Reply

Your email address will not be published. Required fields are marked *