Brexit – impact on the buy-to-let property market

There’s no getting away from the fact that Brexit is having an impact on the UK’s economy. While consumer confidence and the overall feel of things are unlikely to change until a Brexit deal is reached with the European Union, short and long-term lets are here to stay.

Brexit is having less of an impact on property investors than many buy-to-let experts had predicted. Recent research from Market Financial Solutions has found that around 57% of property investors have not changed their investment strategies. According to the latest survey, 64% of investors haven’t let Brexit interfere with their property purchasing decisions. One surprising statistic is that around 45% have actually expanded their buy-to-let property portfolios.

Generation rent is here to stay

Despite Brexit concerns, investors buying property to rent out are still in a favourable position. With property ownership still unachievable for many and a generation of younger people not concerned with property ownership, generation rent isn’t going anywhere soon.

In the main around the UK, property prices continue to rise. It’s not surprising therefore that rental properties are still highly sought after. City centre rentals present an attractive opportunity especially for young professionals looking for easy and convenient accommodation. With this in mind the Brexit factor mightn’t actually be a bad thing for those looking to invest in property.

If you’re thinking about getting into buy-to-let investment or are planning to expand your current property portfolio, now is the time to buy. While the Brexit uncertainty continues, there are still plenty of short-term and long-term property investments out there. Here are a few tips to help you identify properties with investment potential:-

• Location, location, location – check out areas which are set for regeneration or are currently being regenerated. Are improvements being made to the local infrastructure, new developments taking place and new jobs being created? Areas of regeneration are likely to see house prices increase over time, increasing your potential return through rental income.
• Matching the requirements of your tenant – before purchasing an investment property to rent out, it’s essential to understand the local area and the type of tenants living there. Are they young professionals, students or families? This kind of local info will help you match the right tenant for your property.
• Low maintenance property – invest in a property that doesn’t require major improvements. OK, property refurbishment can increase the overall value but at what cost? It might be money you are unable to recoup in rental yield. Go for low maintenance properties, always a great buy for first time or hobby landlords.

Get advice before you invest

Get professional advice before investing into the buy-to-let property market. We can help you identify properties with short-term letting potential, just click on Bricks & Mortar. Speak to one of our dedicated team members about sales, lettings and Air BnB who we have partnered with to generate additional income for landlords. Our property letting experts will be more than happy to assist you with any property buy-to-let investment enquiries.