Why 2023 is the BestTime to Invest in Property in the United Kingdom
Every year, those thinking about investing in property for the first time and even current landlords ask themselves whether it’s the right time to expand their portfolio if they can So, given that annual price growth has been slowing since the summer of 2022, will 2023 be the best time to invest in the UK Property Market?
We believe it could be – depending on what you are looking for from property investment Although average capital values are predicted to fall this year, this is of the back of double digit market growth for many properties through the pandemic and is expected to recover well within five years In addition, rents have been rising strongly for most properties due to a lack of stock And given that buy-to-let is a longer term investment strategy, slower property price growth, coupled with strong rental growth, could work in new and existing landlords’ favour.
Looking back, the UK has hardly been subject to economic stability throughout 2022, has it? There has been high inflation and, with it, increased interest rates, as well as a number of different industries striking and a continuing surge in energy prices.
When you consider the current housing market, it continues to have a reasonable amount of momentum This is impressive and goes to show the volatility of the market as this momentum has managed to carry on even throughout a pandemic, the cost of living crisis that the UK has been going through the past few months, and political uncertainty.
House prices increased thanks to a strong demand for property but only a limited supply Essentially, when you consider the number of people who wanted to buy a property compared to the number of properties that were actually for sale, these figures are very unbalanced
Property investment has generated a great deal of wealth for people, but amongst that wealth generation, you need to be buying your property at the right time.This means capitalising when house prices go down so that you can rent the property out for more of a profit or will see more significant returns if you decide to sell the property later down the line
Even though purchasing a property can be a good investment and now seems like a solid time to do it, it can also be very tough choosing the right property. If you need help, then do not hesitate to contact Property Classified.
