Sheffield, the next Property Hotspot

2018 was an eventful year for the buy-to-let sector. UK rental demand remained buoyant, while investment in the north of the UK continued, presenting landlords with lucrative buy-to-let opportunities.

However, the effects of 2015’s Section 24 regulation and 2017’s stricter mortgage lending criteria also started to take hold. This meant some investors struggled to secure profitable investments, resulting in a shake to the market confidence.

In this article, we take a look at 2019 and discuss how those looking to profit from the private rented sector can succeed despite some market turbulence.

Be Aware of Brexit – But Don’t be Afraid of it

As we enter 2019, speculation over how Brexit is likely to impact the buy-to-let sector is increasing. However, while it’s true that the UK leaving the EU is likely to raise a few obstacles for landlords (something which we discuss in more detail here), Brexit will also present new opportunities.

It’s these opportunities that landlords should focus on in 2019.

The fact remains that when the UK leaves Europe, there still won’t be enough homes to meet the current demand. And it’s this overall housing shortage that will continue to prop up the rental sector in a post-Brexit landscape.

Furthermore, personal concerns around Brexit are likely to impact the market. The uncertainty around the UK leaving the EU has sparked a hesitance from would-be owner occupiers to commit to a mortgage and buy their own property. As a result, it’s predicted that more people will choose to rent in the long and short term, providing private landlords with a lucrative opportunity.

Plan Your Buy-to-Let Mortgages Carefully

There’s no doubt that 2017’s updated lending criteria has made it more difficult for landlords to obtain buy-to-let mortgages.

That’s why it’s crucial that landlords looking to mortgage buy-to-let property in 2019 seek professional advice. Securing expert mortgage advice in 2019 can greatly affect the level of profit generated from mortgaged buy-to-let property. Finding a mortgage advisor who understands the buy-to-let market is vital.

However, while the mortgage restrictions have pained the market, there are some positives to the new lending criteria. As amateur landlords exit the market due to the stricter regulations, serious landlords who are prepared to take the right planning precautions can benefit from a less competitive market place.

Consider Making Buy-to-Let a Business in 2019

When Section 24 of the Finance Bill was introduced in 2015, it abolished mortgage tax relief for landlords. The impact of this started to affect many private landlords in 2018, denting yields and curbing profits.

However, while this new regulation has made it more difficult to generate the same levels of profit as before, in 2019 and beyond there are still ways for landlords to get the most out of their buy-to-let investments that generate good returns. One of these is to operate as a limited company.

Changing from a private landlord to a limited company is the workaround many serious landlords are choosing in order to continue seeing higher profits from their property investment. That’s because owning rental property through a limited company allows landlords to continue to claim tax relief on mortgage relief.

Furthermore, as some landlords choose to leave the private rented sector due to these new regulatory pressures, those who stay in the market and professionalise it reap the rewards.

Focus on Buy-to-Let Property Hotspots in 2019

Rental demand is growing nationwide. However, in order to get the most out of property investment in 2019, it’s crucial that landlords focus on high growth areas with the highest yields possible.

Due to historically steady rental demand, it can be tempting for landlords to invest in major cities such as London, Birmingham and Manchester. However, such property tends to cost significantly more than the UK average. Furthermore, saturating rental rates in these locations can make it hard to generate high, long term yields.

The key to successful property investment in 2019 will be to invest in smaller property “hotspots,” where property prices are low and high growth is predicted.

The north of the UK is home to many property hotspots. As numerous small commuter towns and cities benefit from huge investment, new businesses, students and young professionals are flocking in, sparking a surge in rental demand.

In addition, as part of ongoing investment, transport connections between these smaller towns and major cities are improving. This is making it easier for commuters to enjoy a more suburban lifestyle while working in major cities.

At Fitzwilliam Capital Partners, we focus on identifying UK property hotspots for our investors. We then develop quality properties that are often cheaper than the UK average. Over the last 4 years, we’ve identified and developed in some of the UK’s most up and coming hotspots, including Pontefract, Doncaster, Leicester and Sheffield, all of which have generated strong yields. Many of these areas can be found on Totally Money’s, Buy-to-Let Rental Yield Map for 2018/2019.

Buy-to-Let Demand is still Strong in 2019

Despite recent unsteadiness in the buy-to-let sector, one fact remains true: Rental demand is still strong. Ultimately, this is what landlords should focus on in 2019. As long as this remains the case, there will be opportunities for landlords who offer a high-quality rental service.

The industry as a whole agrees. Andrew Montlake, of mortgage broker Coreco, told the Telegraph, “It is basic economics. We aren’t building enough homes. People can’t buy, and so there is demand for rental properties and for landlords.”

Get Help with Investment Property in 2019

If you’re a landlord already or looking to be become one by investing in property in 2019, talk to our experienced team today.

With a strong focus on property investments that deliver great returns and capital growth, we’ll work with you to make sure you achieve the highest possible returns from your property investment, in spite of any industry pressures.

So, get the most out of property investment in 2019. Contact us today to learn about how we can help you.

With Brexit looming, there are pressing questions about how the buy-to-let market will be affected when the UK finally pulls out of the EU in March 2019.

Some investors see the cut off from Europe as a blow to the buy-to-let market. Yet there are others that believe Brexit will present unique opportunities for investors looking for high yields and sustainable investments.

In this article, we discuss the potential advantages and disadvantages of Brexit on the buy-to-let industry and explain how as an investor, you can thrive in a post-Brexit market.

The State of the Buy-to-Let Market Pre-Brexit

When the 2016 referendum result was announced, it didn’t take long for panic to spread about a potential housing market crash. Despite this, the housing market remained buoyant. And over the last 2 years, buy-to-let investors have continued to take advantage of a lucrative rental industry.

Interest rates have also remained low, which has made it easier for investors to obtain high yields on property. This is especially true of property in the north of the UK where the prices are much lower than the UK average.

However, 2018 has also welcomed new tax changes ahead of Brexit to the private rental sector that have made it more challenging for some landlords to expand their property portfolio.

These changes have been introduced by the government in an attempt to make the sector more professional. But, as a result, some private landlords have struggled to get mortgages approved for new buy-to-let property on an individual basis.

Combined with the imminent Brexit date, these changes have left the buy-to-let sector in low spirits.

The Impact of Brexit on the Buy-to-Let Sector

There’s no doubt that Brexit will have an impact on the rental housing sector. Realistically, the effects will be both negative and positive. For buy-to-let landlords, it’s important to recognise that among the challenges, there will also be unique opportunities to take advantage of.

Negative Effects of Brexit on the Buy-to-Let Market

After Brexit, immigration from mainland Europe will decrease. There is speculation that this will reduce the overall UK housing demand. As a reduction in housing demand would affect the rental sector first, there are fears that the buy-to-let landscape would be weakened.

In addition, the drop in the pound has paved the way for foreign investment in the UK. This has made investments more obtainable for those living abroad. However, for UK investors, it’s heightened competition on their turf. Due to the lower cost to foreign investors, they are able to secure higher yielding property. This means higher yielding property is more likely to be snapped up by those living abroad.

Positive Effects of Brexit on the Buy-to-Let Market

While the reduced immigration from Europe may wobble the rental sector initially, it’s more likely to have an impact on bigger cities such as London.

The fact remains though that the UK doesn’t have enough homes. This means that the overall housing shortage will continue to prop up the rental sector. And even in a post-Brexit landscape, there will still be opportunities for buy-to-let investors.

In addition, would-be owner-occupiers are dealing with a rise in property prices and are struggling to obtain mortgages. This makes them dependant on the rental sector. Furthermore, as personal concerns about Brexit grow, a hesitance to buy property during uncertain times is likely to prompt more people to rent. This will provide private landlords with the ongoing opportunity to provide people with homes in the interim.

Lastly, the general attitude about buying property has changed. More millennials are opting to rent rather than buy. Younger people are choosing rented homes in central and prime areas over buying their own property. The effect of Brexit is likely to enhance this movement, with flexibility becoming more important in times of political uncertainty. This will create a lucrative pocket of opportunity for buy-to-let investors going forward.

Buy-to-Let Success Post-Brexit is all About Location Hotspots

It’s clear that there will be buy-to-let opportunities for private landlords after Brexit. However, securing the right property location will be key to generating high yields.

While London has been the go-to place for investment property for some time, it’s likely to see a downturn in rental demand post-Brexit. This is because the capital city is a key area for European immigration, and therefore more likely to see a rental demand decrease.

This potential for dwindling rental demand combined with the high property prices in London means it may become more difficult for buy-to-let landlords to generate high yields there.

Instead, buy-to-let investors should turn their attention to the north of the UK after Brexit.

Even with Brexit approaching, property in the Northern Powerhouse offers great growth and yield potential.

Rental demand is growing due to huge investment in several northern towns and cities, making property there a safer, and more profitable alternative for buy-to-let investors. Furthermore, the reliance on European migrants to grow these local economies is lower than London.

Combined with property prices lower than the UK average, this represents a key opportunity for investors wanting to generate high yields.

Coping with New Tax Measures

Overall, Brexit won’t be as disastrous for the rental sector as some may have feared. In fact, the UK leaving the EU may present private landlords with fruitful new opportunities.

It’s the 2018 tax changes which will present the biggest challenge to buy-to-let landlords going forward. For investors wanting to continue to make high yields, they’ll need to consider how they shape their property investment business model.

Setting up a limited company in order to buy buy-to-let properties seems to be the best workaround. According to the Buy Association, “42% of landlords with portfolios containing four or more properties intend to operate through a limited company in the year ahead, compared to 31% of those with up to three properties.”

For serious buy-to-let investors wanting to continue to see profits post-Brexit, changing to a limited company could be the workaround that’s needed to continue seeing higher profits from property investment.

There’s a chance post-Brexit that the 2018 tax restrictions will have a positive effect for serious buy-to-let landlords.

With many amateur landlords choosing to leave the private rented sector, there’ll be less competition for the more lucrative properties. This, combined with the growing rental sector in a post-Brexit Britain, means now could be an exciting time to be a serious property investor.

Buying Buy-to-Let Property After Brexit

At Fitzwilliam Capital Partners, we’re your eyes and ears on the ground when it comes to property investment. We’re constantly working with the market to find our investors the best, more lucrative investment opportunities – despite challenges in the industry.

Specialist bank Aldermore recently reported that more than four out of ten UK landlords expect the private rented sector to grow going forward. And 17% plan to expand their buy-to-let portfolio. Our expert knowledge of the private rented sector combined with this leaves us confident that the investment market is a fruitful and profitable place to be.

In addition, we only invest in areas where we’re confident we’ll see continued growth in spite of any broader negative impact of Brexit. We invest in areas where long-term investment is already secured, where rental demand is growing and where investors will continue to see high yields into the future.

So, if you’re a buy-to-let investor and you’re interested to learn more about our Brexit Proof investment opportunities, talk to us today. Our advisors will talk you through your best options as a buy-to-let investor.

You can also take a look at our current investment properties.

If you’re looking for high yielding property in the Northern Powerhouse, Pontefract should be on your radar as a key property hotspot.

The quaint market town in West Yorkshire is fast-evolving to be a property investors haven. Due to high rental demand, lower than average property prices and ongoing redevelopment in the area, property investors can expect to generate much higher yields than the UK average.

So, if you want to add a profitable buy-to-let property to your portfolio – Pontefract could be exactly what you’re looking for.

Here are 5 key reasons why you should consider investing in Pontefract.

1. Pontefract is Close to Major Northern Cities

Pontefract is a small town, but it sits very close to some of the busiest cities in the north of the UK. Just 30 minutes away from Leeds, 25 minutes from Wakefield, and an hour and a half from Manchester, it offers a less hectic pace of life while in close reach of key cities. This makes it a popular choice for commuters and families.

In addition, its proximity to these cities means it’s set to benefit from their continued economic boom. As Leeds and Manchester continue to expand and grow, Pontefract is perfectly positioned to absorb the demand for residential property as their property markets start to saturate.

2. Pontefract Investors Can Generate High Yields

Pontefract already offers high rental yields that are unattainable in other parts of the country – especially in the south of the UK. These high yields are available because rental demand is steady while property costs significantly less than the average in both the UK and across Yorkshire.

Despite lower rental values available in Pontefract, due to the lower cost of property, investors are able to generate even higher yields than Manchester, Leeds or Liverpool.

Furthermore, for investors buying now, these yields are likely to increase. The overall growth of the north and the planned redevelopment around Pontefract itself will enhance the town’s buy-to-let profitability in the coming years.

For property investors looking to make the highest possible yields out of their investment, now is the time to buy before prices increase and shrink yields.

3. Pontefract Has a High Rental Demand

There are lots of reasons why Pontefract boasts a high rental demand. Firstly, the town itself is attractive and charming. The picturesque town centre, period buildings and cobbled streets make it a lovely place to live.

It also offers a variety of important amenities that make it attractive to a wide range of renters. For example, Pontefract’s highly rated OFSTED schools and colleges are an appealing prospect for young families, while it’s close proximity to bigger cities means commuters can take advantage of cheaper rent and more affordable living.

However, Pontefract is also on the verge of its own economic boom, which will likely increase rental demand and reduce the town’s reliance on the north’s bigger economies. Ongoing development and a growing business district means that young professionals are being encouraged to stay and develop the town, transforming it into a fully-fledged northern economy.

This redevelopment is what presents the most exciting opportunity for investors. And those looking for buy-to-let property with strong growth potential will see the greatest returns on their investment if they invest early.

4. Pontefract is Growing

The regeneration plans around Pontefract are what makes the town such an exciting property hotspot.

These include a £750 million redevelopment project in the nearby Castleford area, a growing business district and a £15 million leisure complex. The area will also benefit from the new Axiom development, a huge regional shopping mall due to launch in 2021. This will be located just a few minutes’ drive from Pontefract.

These projects will create thousands of new jobs and green spaces, significantly enhancing Pontefract’s commercial offering and increasing rental demand.

5. Pontefract Benefits from Strong Transport Links

As well as being well located, Pontefract also benefits from extremely good access to major cities in the North, both by public transport and by road. This adds to its value as a commuter town. It’s even located in close distance to two of the major airports in Yorkshire – Leeds Bradford and Robin Hood.

In addition, work is in place to enhance the town’s transport links. A new rail service is already underway from Knottingley to Wakefield Westgate and Leeds, set to make Pontefract even more connected.

In combination with the town’s own growing economy, these improving transport links will help enhance Pontefract’s growing commercial offering.

Invest in Pontefract Property with Fitzwilliam Capital Partners

When it comes to UK property hotspots, at Fitzwilliam Capital Partners, we know what we’re doing.

For years, we’ve been scouring the UK to find the best property opportunities for both ourselves and our investors. Through vigilant research and our many years of experience we identify these growth areas. And, because success is in our interest too, property investors can rest assured that they’re working with developers who have thoroughly researched the areas where they’re investing.

And we believe Pontefract is one of these areas.

The Malthouse, Pontefract

We have a number of developments planned in Pontefract. The first of these is The Malthouse.

Located in the centre of Pontefract, this luxury development of 75 units offers a choice of living styles. Investors can choose from affordable one-bedroom apartments to stylish two-bedroom duplexes. Some of these apartments even have generous outdoor spaces – a commodity that’s highly sought after when it comes to apartment living.

For investors looking for properties with even more outdoor space, the Malthouse development also boasts four-bedroom townhouses. The development is also private and gated, with allocated parking available.

Whether you’re a first-time investor or someone who’s looking to add to their property portfolio, we want you to get the most out of your property investment.

Contact us today to learn more about our investment opportunities in Pontefract. Call our team on 0161 641 3100 or email us at hello@fitzwilliam-cp.com for more information.

For property investors investing in buy-to-let property, today’s market presents a huge amount of choice. Making a decision on how to invest can mean the difference between generating high yields or making a loss.

So, in this guide, we’ll examine the pros and cons of two of the most common ways to invest in rental property: buying rental property that’s already tenanted and buying off-plan rental property.

What is tenanted property?

Tenanted property is rental property with existing tenants in situ. When an investor buys tenanted property, the previous tenants will continue to live there but will pay their rent to the new owner. Often, the conditions of a rental contract will remain the same for the tenants despite the property changing hands.

The benefits of tenanted property

1.     Generate income from the outset

As a buy-to-let investor, tenanted property offers you the opportunity to make money on your rental property fast. As the property is already benefitting from paying tenants, your investment will be generating an income from the moment it’s officially yours. In addition, you won’t need to market the property which will keep costs down, and increase yields even further.

2.     Background info on tenants

When you buy a tenanted property, you’ll get an insight into the track record of the tenants already living there. This will include a payment and behaviour record, and based on this information, you’ll be able to make a decision in advance about whether or not you want to purchase a property. The advantage of knowing the risks of the tenancy puts you in a more secure position than finding unknown and potentially unreliable tenants from scratch.

3.     Property is often managed

Often, buying tenanted property through an investment company comes with free property management for a certain time period. This means that the day to day property management is dealt with on your behalf, limiting the contact you have with the tenants and saving you money and time.

At Fitzwilliam Capital Partners, we offer our tenated property investors 1 year of free property management to all tenanted property landlords. You can find out more about our tenanted property here.

4.     You don’t have to consider Absorption Rate

Rental absorption rate is the rate at which available homes are rented in a specific area over a certain time period. For buy-to-let investors, this is a key indicator of the neighbourhood’s rental demand, so it’s vital to look at the rental absorption rate before buying property there.

However, buying a property with tenants already in place means the absorption rate around your rental property isn’t as crucial to consider. This is because you’ll be generating an income from the moment you own the property and you won’t need to worry about attracting new tenants.

It is also important to consider the type of tenants you’re hosting and how long they may stay. For example, rental turn over for young professionals and students is likely to be higher than families. So, make sure there are enough rental opportunities in the pipeline to attract more tenants if your existing ones choose to leave.

5.     Ready to legally let

Most properties sold with tenants in situ will already meet the legal conditions of rental property. This includes things like gas certificates, smoke alarms and other licenses depending on the type of property. Obtaining these certificates can be time consuming and expensive, so buying a property which is already rental ready and tenanted will save you a lot of time and money.

6.     No need to refurb/furnish

If a property is already occupied by tenants, it’s unlikely that you’ll need to refurbish or furnish the property. This means that the amount of money you pay for the property will be the final amount you’ll need to consider when working out your yields.

The drawbacks of tenanted property

1.     A potential for legal issues

Although the majority of tenanted properties are sold rental ready (in the sense they are certified and safe for occupation as per rental laws) sometimes this is not the case. If you do buy tenanted property, it’s crucial you check that it is completely legal for tenants to inhabit the property. If it’s not, any legal issues will fall on you as the landlord, even if the problems are due to the previous owner.

2.    Difficulty removing tenants

If you’re looking to buy a rental property but want to recruit new tenants yourself, tenanted property may not be the best way forward. Removing previous tenants can be extremely tricky. Depending on their contract, they may have the right to remain in the property up to 3 months after you issue them with an eviction notice. They may even be able to dispute the eviction, prolonging the process further.

3.     A potential for lower yields

When you invest in tenanted property, you buy it at market rate. It’s likely you’ll also have to honour the existing rental agreement for a period of time after buying. This means that you may be left with lower yields compared to an off-plan property which are often discounted and where you can set the rental price yourself.

What is off-plan property?

Buying off-plan allows you to purchase property at a set amount before it’s even been built. A price will be agreed based on the plans for the property and the property market where it’s set to be located. And, because buying property off-plan is considered riskier than purchasing pre-built property, such property is often heavily discounted.

The benefits of off-plan property

1.     Higher returns & cheaper property

Off-plan buyers often benefit from big discounts on the completed property’s value when buying it ahead of completion. For buy-to-let investors, this can improve rental yields substantially in comparison to buying tenanted property or property that’s already been completed. That’s why you often see more valuable investments with off-plan rental property, especially if you’re buying in a growth area with very high rental demand.

2.     Generally high rental demand

New build blocks of flats tend to be built in high growth areas or in areas with high growth predicted. When buying off-plan property, look for a property development company with a good, stable off-plan property track record. They should also be able to give accurate predictions about projected yields for the properties based on their experience in the industry.

3.     No need to refurb or furnish

Purchasing brand new property means that you won’t need to invest anything on furniture or refurbishing. Most new builds come complete with furniture packages included in the in the price of the property, and because the building is brand new, there’s no need for any refurb work.

4.     Free property management

Depending on the investment company who you buy with, your new property may come with free management for a period of time. This means that once your property is tenanted, all contact with the tenants will be done through a management company, saving you time and money.

The drawbacks of off-plan property

1.     Off-plan is a risky asset

Buying off-plan is riskier than buying a property that is already completed. If for any reason the plans fall through or the housing market drops while the property is being built, you can lose money. For this reason, off-plan property is generally sold cheaper to investors to accommodate these risks. That’s why it’s crucial you do your research on the area you’re buying in and on the company that is building the property. Make sure whoever you’re buying with is adequately insured for any issues that may arise.

2.     You have to consider Absorption Rate

As you’re looking to let your off-plan property, a high rental absorption rate in the property’s area is vital. In order to generate optimal yields, rental property needs to be located in an area where there’s high rental demand, improving transport links, amenities and schools. You’ll need to take a lot of time to research the area in depth to make sure you’re buying in a secure and profitable area.

3.     No immediate income

If you buy off-plan, you’re buying something that either not yet built or not yet completed. This means that although the property can be secured at a cheaper cost than the completed property’s market value, you won’t be able to make an income on it until it can be tenanted. Depending on the terms of the purchase, it could take many months until you’re able to generate any revenue from your investment purchase.

4.     Harder to get a mortgage

It can be difficult for non-cash buyers to secure off-plan properties. There are two reasons for this.

1. Mortgage companies don’t tend to offer mortgages specifically for off-plan properties.
2. If they do, a mortgage offer tends to only last for 6 months. So, if your property takes longer than to this complete, you’ll need to reapply for the mortgage.

If you’re relying on a mortgage to buy your investment property, off-plan may not be the most reliable way to purchase.

Buying Investment Property with Fitzwilliam Capital Partners

At Fitzwilliam Capital Partners, we’re proud to offer you a broad range of different property opportunities that will ensure you generate the highest possible yields.

As renowned property developers, we develop a number of high-quality properties across the UK. Our off-plan properties opportunities are located in some of the UK’s most thriving growth areas. In addition, we also offer and manage a selection of high quality, high demand tenanted properties.

Our expert team can advise you on what type of property investment is best for you. To find out more about how we can help you, get in touch today.

At Fitzwilliam Capital Partners, we are nearing the end of the build at Agin Court in Leicester.

Agin Court marks our third development in Leicester in just three years, so today we look at the huge success we’ve had in the city since we first started developing property there in 2015. We also look at why we chose Leicester as, “The Next Big Hotspot!”

Leicester: A Growing Property Hotspot

When our land directors originally selected Leicester as a development opportunity, our sales team were a little unsure about the city’s prospects. At that time, Leicester wasn’t exactly what you’d call an “easy sell”. However, with key insights about upcoming development in the city, coupled with the growing student rental demand, our team knew they were onto a winner.

Director Hayley Moore explains: “When we began the build on our first development in Leicester – Blenheim Court in 2015, we were aware of the plans for the city. It had an air of confidence about it, and we believed it was a great opportunity to invest”.

Building New Developments in Leicester

Our team’s hunch was right. Blenheim Court, a mix of two and three-bed apartments completed in September 2015 and sold in record time, achieving a 20% increase in rental than previously anticipated.

Crecy Court was the next Leicester scheme for Fitzwilliam Capital Partners and it completed in October 2016. Located on Lee Street on the edge of what is now the city’s Cultural Quarter, the scheme delivered 28 luxury two and three-bedroom dwellings. Again this development sold out in record time and achieved a 25% increase in rents than originally anticipated.

Leicester Recognised as Key Growth Area

After the success of these developments, a buzz around Leicester has started to build. Just last year, the city was named in the top 10 English cities to live and work, ahead of cities such as London and Brighton.

While these ‘top 10’ credentials come as no surprise to Sarah Harrison, Leicester Council’s city centre director, the city’s rapid growth has.

She said: “The growth we have seen in Leicester city centre over the past year has been beyond all expectations.

“As well as the opening of a number of new bars, restaurants and coffee shops, we have also seen a huge rise in the number of residential developments, which is really adding to the vibrant feel of the place”. 

Redevelopment in the city continues. In June 2018, work began on a huge £47m regeneration project, which is set to include two new hotels – one six-storey and one 10-storey, 35,000 sq ft of office space, and a new public realm area.

Sean Bowles managing director of Morgan Sindall in the Midlands, the contractor carrying out the work said: “Leicester is riding a wave of optimism and prosperity, on the back of a resurgent tourist industry.”

In addition to the £250m transformation of Leicester’s long neglected Waterside, Leicester’s rapid growth continues to shine a light on the city.

Agin Court offers New Homes in Leicester

Following the success of our first two Leicester developments, Fitzwilliam launched Agin Court in November 2017. As our most exclusive development to date, and going on sale in a much a warmer Leicester market than before, almost all of the scheme’s 38 two-bedroom apartments and penthouses have sold completely off plan.

Discussing the success of the developments, Fitzwilliam Capital Partners operations director Phil Mulroney comments: “Our land directors have the ability to locate opportunities in luke warm areas! Not the most sales friendly line, but it means that our buyers buy at the lowest price possible, knowing that in time this luke warm area will be hot, thus maximising their investment.”

He adds:“Leicester is a great example of this and, the success that we have achieved in the city for our investors speaks for itself!”.

Fitzwilliam Property Development and Investment

If you’re looking to invest in UK property, our dedicated team can help make sure your investment works as hard as it possibly can. Constantly on the lookout for key growth areas, we’re dedicated to developing properties that deliver outstanding yields for our investors.

So, whether you’re an experienced investor who’s looking to add to your portfolio or looking for your first investment, get in touch today. Our team of experts will be able to help you find your perfect property. Call us on 0161 641 3100 or email hello@fitzwilliam-cp.com.

As a property investor, starting or adding to a buy-to-let property portfolio can be a complex task. Making sure you buy the right property in the right location is crucial when it comes to the ultimate goal of generating high and sustainable yields.

Today, property in several of the UK’s biggest cities demand high prices, with several populous areas seeing continued increases in property cost. Despite UK property prices increasing, investors can still find cheap investment property in the North of the UK.

Investing in buy-to-let property can yield large ROI in the short, medium or long term. The UK property market still represents one of the best and safest ways to invest your money.

In fact, buy-to-let property remains the UK’s most popular type of investment. A survey by specialist bank Aldermore recently reported that more than four out of ten UK landlords expect the private rented sector to grow, while 17% are planning on expanding their buy-to-let portfolio.

Should I Buy Cheap Investment Property?

Buying cheap investment property is a great option for investors looking to turn an initial investment into a regular earner, quickly. In addition, buy-to-let still remains one of the most stable ways to make money from a real estate investment.

For example, renting creates a steady monthly income payment, like a classic dividend-paying utility stock. For most buy-to-let investors, buying cheap property in developing areas with high rental demand and growth prospects can generate this monthly income fast, while also generating the highest yields.

Cheap Property Benefits The Rental Market

An alternative option to buy-to-let is ‘flipping a property’. This involves buying a house, renovating it and then selling it on for a greater price than was originally paid. Getting a return on a buy-to-sell investment will depend on several factors – the biggest being the appreciation of a property, and how cheaply you can renovate it.

In recent times, as rises in house prices have started to slow down and level out, and even decrease in some areas, buying a house to sell on quickly is less likely to deliver the same rewards it once would have. As property prices are already generally quite high, less people are buying property in favour of more flexible and cheaper options such as renting. This means that making a significant profit quickly from a buy-to-sell property is much more difficult.

According to the Office for National Statistics

• “average house prices in the UK have increased by 3.9% in the year to April 2018 (down from 4.2% in March 2018). This is its lowest annual rate since March 2017 when it was 3.7%.
• The annual growth rate has slowed since mid-2016 and has remained under 5% throughout 2017 and into 2018.”

The for-sale market for both existing and new-build properties therefore represents a risk for someone hoping to make a quick return on their investment.

Conversely, according to an annual report by estate agency Knight Frank:

• around 5m households, or 21% of the total, currently live in private rented accommodation, a quarter of whom are families with children.
• This is set to rise to 79m (or 24%) over the next five years, alongside 14.3 million owner occupiers and 4.3 million social tenants.
• Households living in privately rented accommodation has reportedly doubled over the last decade
• it is predicted that by 2021 nearly one in four households will be privately renting.

There has never been a greater demand for rental properties in both towns and cities all over the UK. If an investor can spot cheap property opportunities in an area where rental demand is set to increase, they stand a chance of generating some of the best ROI’s in the current market. Furthermore, this is where property owners are able to make the most money back over a longer period of time, turning a cheap buy-to-let into a handy nest egg for the future.

Cheap buy-to-let properties are an emerging opportunity for market savvy buyers hoping to make sustainable gains on their investment. By adding cheaper buy-to-lets to your property portfolio you’ll create the potential for yields across multiple investments too.

From student flats to luxury apartments, Fitzwilliam Capital Partners build and manage with the buy-to-let investor in mind. All our property developments carefully consider local buy-to-let demand, and come with assured rental guarantees, high yields and an option for managed investment.

 Secure high buy-to-let yields on investment property with Fitzwilliam Capital Partners. Contact us today to find out how we can assist you in making the right property investment.

Cheap Investment Property In The UK

If you are looking for cheap buy-to-let property, the North represents a great opportunity. Historically, northern house prices have been a lot cheaper than in the South, and while this is still the case, change is on the horizon.

Nowadays, once run-down industrial cities and towns are emerging as ideal places to buy high yielding investment property. In fact, property prices and rental demand are set to dramatically rise in the not too distant future.

Due to government redevelopment, new businesses, job creation and population growth, northern towns are increasingly vibrant and modern places to live. They’re attracting young families and graduates alike, creating a greater demand for rental properties.

Property prices in many Northern cities and towns are still significantly cheaper than UK averages for like-for-like properties. This represents an opportunity for buy-to-let investors hoping to pick up a bargain in areas with developing growth.

Pontefract and Stoke-On-Trent are both fantastic examples of how the North of England is changing. They both offer exciting property investment opportunities for first time buyers and investors.

Cheap investment property in Pontefract

Pontefract looks set to become a key growth area over the next couple of years. Currently, property in Pontefract is significantly undervalued compared to the UK overall. According to property market intelligence company Data Loft, current flat prices in Pontefract are up to 170% less than the UK as a whole, at an average price of £79.5k.

For property investors this presents a unique opportunity to buy a great value home which is set to increase in value. If the purpose of the investment is buy-to-let, the owner can expect to see high yields on their investments.

Pontefract is certainly up and coming. Redevelopments are also set to take place within the next decade, improving on what is already a successful and thriving town. According to the Wakefield.gov.uk website, “The Pontefract Vision 2028 is setting out the organisations’ shared priorities for the historic town, which will help guide development and steer projects into the next decade and beyond.”

Cheap Investment property in Stoke on Trent

As a city currently experiencing a rise in entrepreneurialism, Stoke-on-Trent is firmly on the map when it comes to business growth in the UK.

In fact, Stoke on Trent is one of the highest performing cities for rental yields in the UK.Property Partner’s study ranked Britain’s 100 major towns and cities, taking into account the average income, average property price and average rent in each area. Stoke on Trent featured in both the top ten yielding towns/cities and the ten best places to become a landlord overall.

On top of this, the city’s popular and growing university welcomes thousands of new faces every year, providing a constant source of rental demand.

In addition, Stoke-on-Trent is also set to benefit from key redevelopment in coming years. The train station will be completely redeveloped, while new hotels and accommodation will also be built to help service the growing tourist and student markets.

Property Investment with Fitzwilliam Capital Partners

At Fitzwilliam Capital Partners we can help you get the most out of your investment property. Not only are we. We are fully up to date with the buy-to-let market, but we’re constantly going above and beyond to develop properties that deliver outstanding yields for both us and our investors.

 So, whether you’re an experienced investor who’s looking to add to your portfolio or looking for your first investment, our knowledgeable team can help you find the ideal property at the right price.

 Get the most out of your property purchase. Contact us today to learn about how we can help you find an exciting investment property in the UK.