The future looks bright for UK property investments in the upcoming year, as indicated by a recent survey of landlords, highlighting a particularly strong outlook for Houses in Multiple Occupation (HMOs) and student accommodation. This optimistic sentiment is echoed by Puran Investment, a leader in these specific sectors, underlining the firm’s expertise and success in navigating the property investment landscape.
The survey, conducted by The Mortgage Lender (TML), reveals an encouraging perspective among landlords, with 86% of those specialising in HMOs and 84% in student properties expressing confidence in the prospects for 2024. This optimism is not just limited to specific property types; portfolio landlords also share a positive outlook, with 84% feeling upbeat about the future of the UK property investment market and 78% positive about their rental properties.
Reflecting a broader confidence, nearly three-quarters (74%) of buy-to-let landlords are optimistic about the UK property market’s performance in the next 12 months. This includes a notable 27% who are “very confident,” highlighting the strong foundation and resilience expected in the market.
The insights from TML underscore the advantage of experience and diversity in property portfolios. Those who have been in the property investment arena for over five years and manage a range of property types are among the most confident, with 73% looking positively at the future of their rental property portfolios in 2024.
A key driver of this confidence is the rising demand for rental properties, fuelled by longer rental periods and diminishing housing and rental supply levels. This trend, noted by 73% of landlords who have seen an increase in tenant demand over the past six months, supports the sustained popularity of UK property investment despite economic challenges.
As a result, rental prices have risen, with 73% of landlords increasing their charges in the past year. Though dramatic hikes are expected to stabilize, the continuous demand exceeding supply suggests rental prices will keep growing, supporting the investment appeal.
Buy-to-let properties play an essential role in the UK housing market, housing around 4.4 million households or about a fifth of all households in the country. The shift towards renting, driven by affordability issues and lifestyle choices, especially among young professionals in urban centres, emphasises the significance of the buy-to-let sector.
Puran Investment, with its specialised focus on HMOs and student accommodation, is at the forefront of meeting the housing needs of this evolving market. Chris Kirby from The Mortgage Lender highlights the importance of the buy-to-let industry in maintaining a steady supply of homes and the encouragement derived from landlord confidence despite rising operating costs and inflationary pressures.
For landlords considering expanding their portfolios or remortgaging properties, the advice is clear: seeking broker advice is crucial for tapping into the best opportunities in the year ahead. As a property investment expert, Puran Investment stands ready to connect investors with high-potential opportunities, particularly in the thriving sectors of HMOs and student accommodation, underscoring the company’s role in shaping a resilient and prosperous UK property investment landscape.