Food for thought! In 2006 there were 2.4 million homes in the private rental sector within the UK. Now some 6 years later this figure is close to 4.2 million and by 2021 it’s expected to grow to over 7 million! Every property within the private rental sector will need to be owned by someone and as history proves, property is likely to increase in value over time. According to Land Registry statistics the average selling price for a property in Essex in 1995 was £66,497. By 2011 this figure had nearly trebled to £188,114 which represents an uplift of more than 182% ! Therefore not only can Landlords benefit from a regular source of income via the rent paid by their tenants, but when the property is eventually sold they could also enjoy lucrative Capital Growth returns. These two aspects should be of particular interest and benefit to those who may want to retire in 10 to 20 years time. As our population continues to increase, there will be an ever increasing demand on Government resources. This will inevitably have a negative impact on state pensions leaving many with little choice but to continue working into their late 60’s and early 70’s. However, the regular income and Capital Growth potential that a buy to let property can generate will undoubtedly help determine when people choose to retire and how they fund their lifestyles during later years.
TYPICAL EXAMPLE
Our projections forecast that if the property featured was financed appropriately it could generate a total net return of £97,988 in 20 years time after all taxes have been applied (plus the return of the initial deposit)
Beresfords will be running FREE SEMINARS throughout the year to explain the whole process of buying to let and to demonstrate how lucrative financial returns could be generated. If you are interested in attending please email: buytoletteam@beresfordsgroup.co.uk For further information please see overleaf