If you are a property investor interested in rental income, you have two options in front of yourself. You can either buy low cost properties yielding attractive rental income or go for high cost properties that generate decent income but are more attractive in terms of their capital appreciation. Properties in the second category are high priced but they have a strong demand among renters. If one looks at the map of England, he finds that there are very few geographical regions well endowed with both these two types of properties. The North East portion of England is one such region that exhibits both these characteristics. It is, therefore, the preferred area of action for investors looking for rental income properties. In fact, it is the North East of England that has always featured in the lists containing top places for buy to let properties.
If one goes by the latest reports published by National Landlords Association, he finds that North East England is further cementing its place in the regions that are best suited for property investors desirous of rental income properties. Things will only become better for North East England in near future in this regard if one considers the fact that annual rental yields from rental properties across North have increased by nearly 4.8% in the last one year. This has prompted existing landlords to go on a buying spree in the North East. The numbers of such landlords trying to buy more rental income properties in the region has doubled to around 19% in the same period.
Why The North East?
According to figures released by Association of Residential Letting Agents, demand for rental properties in North East England increased by almost 17% in the first two months of 2019. If one compares the median home price of properties in North East England with comparable ones in London, the capital of the country, he finds that these prices are less by nearly 150000 Euros. This is what makes North East England so appealing to investors and landlords who feel they can get higher rental yields by investing a lesser amount of money in this region.
If one compares rental amounts as a percentage of monthly income, he finds that this ratio is currently lying at a 30-year low in the North East region of England. On the other hand, the same ratio is at a 30 year high for the southern part of England. This is a finding that is revealed by the figures released by the Office for National Statistics (ONS). It is not a surprise therefore, that renters are also flocking to the North East of England whereas landlords in the southern parts of England are finding it difficult to have high occupancy rates in their properties.
If you’re struggling to find properties or even just don’t have the time, KB Property Darlington source properties through a compilation of local contacts and an abundance of estate agents that allows us frequent opportunities to properties before they even come to market.
Leave the worry of refurbishing the property to us. KB Property Darlington have the experience, expertise and a great team of tradesmen and contractors to swiftly renovate your property to very high standard and subsequently make it ready to rent to attract top quality tenants.
We provide high quality property management services at very reasonable prices to our clients. We look after not just the upkeep and repairs but also tenant screening. We collect the monthly rents on your behalf and maintain high occupancy rates in your property.
…you receive all of the benefits of investing in residential buy-to-let property without experiencing any of the associated hassle.
If you are considering developing a property investment portfolio in the North East of England, it would undoubtedly be worth an initial conversation with us to establish how we can help you.