Experience Invest

Interest grows in UK student property investment

Posted Posted in Experience Invest, property investment

The team at Experience Invest are focusing heavily on UK student accommodation investment at just the right time. We blogged before about recent figures from the CBRE which revealed investment in the sector in the first half of 2015 already passed the whole of 2014’s figures at £3.98 billion. In this blogpost we want to look at some of the reasons why student accommodation is becoming the next ‘must have’ element of your property portfolio. 4 reasons to invest in student accommodation Undersupply Student accommodation is in massive demand in the UK, not just London and the south of England. University cities and towns across the UK are desperate for more accommodation. At Experience Invest we’re looking at multiple sites in Liverpool as well as Luton.  Undersupply means high demand and high yields. Performance With high demand comes great performance, and at the moment student accommodation is out performing all other sectors. This doesn’t look set to slow down anytime soon. Assured returns Get real peace of mind on this sector from Experience Invest. At the present time most of our recommended opportunities provide assured returns for a set length of time. This is the perfect way to build your confidence in this asset class if you’re a first time property investor. Choice Experience Invest are leading the way in advice on this sector, and there’s still lots of investment choice on the market. You can view all our recommended student accommodation investments here. If you want to learn more about this asset class our friendly and experienced team are happy to help with an informal chat about the investments we offer and why we recommend them. Experience Invest Experience Invest have been trading since 2004 and we’ve worked with all types of investors from first timers to high-NET-worth individuals […]

Experience Invest

UK Student property investment is growing

Posted Posted in Experience Invest, property investment

£3.98 billion was invested into UK student property in the first half of 2015 new figures show. The team at Experience Invest are leading the way in student accommodation investment and we know that currently all the core markets are under supplied. In the whole of 2014, £2.35 billion was invested in the UK, so the figures for first half of 2015 show that investors are rapidly catching onto the potential gains in this sector. The research comes from CBRE who said that the high yields available in the student property sector are now attracting investors in large numbers. London Yields Yields in London student property are now at 4.75%, this is back to the high of the 2007 peak, this comes as an influx of students into the capital are left to fight over a lack of suitable student accommodation. This situation is happening in every university town and city across the UK. The high demand and lack of supply means that rents are going upwards and capital values climb. Investors are becoming more and more attracted by this market with occupancy rates at 99% or higher and management companies maintaining properties which supply an excellent, hassle free, passive income stream. Differences between residential and student accommodation The Head of Student Housing at CBRE, Jo Winchester said: “So long as demand outstrips supply, upward pressure on both rents and capital values will continue to make the market an attractive proposition for investors, and we don’t expect the market to come off the boil for some time. “Some investors see student housing as a more cost effective way of gaining access to the PRS, both in terms of higher yields and lower capital values per square foot. “Although there are differences between residential and student accommodation operational models, some larger […]

Commercial Property experiences three tier recovery

Posted Posted in Experience Invest, property investment

Commercial property and office space are on the up while retail could be set for a new revival.  In this blog post the team at Experience Invest are taking a considered look at a recent new report by Knight Frank. The report on the June market outlook explains that all property experienced capital growth in May and that office space saw the highest capital growth at 1.5%,  with retail the lowest at 0.2%. Even though the figure for retail is low, it’s still encouraging that in the face of the always present threat of internet shopping that retail is showing some growth and may be primed for a small revival. Internet priced in The impact of internet shopping on the retail property sector has been well documented over the past five years. Yet, at this time, much of the retail property market now already has technological changes to our shopping habits priced in. New retail services like click and collect have the potential to swing back shoppers in favour of the high street. Indeed many commentators now feel that retail is in its best position for some time. James Roberts one of economists behind the report said: “Possibly investors now view the internet effect as priced in, taking some of the heat out of the market. This is perhaps a healthy downwards gear change, especially as the internet is no longer expanding its market share in retail as aggressively as a few years ago.” Shop Vacancies Vacancies in retail property have hovered around 13% according to most sources. This figure could be set to drop as the boom in online shopping levels out. Intelligent investors will be looking at growth in office and industrial property and wondering when, and if, the true return of the retail property boom will come. […]

Experience Invest

Budget 2015: Why buy-to-let landlords need to think long term

Posted Posted in Experience Invest, property investment

Here at Experience Invest we’re well aware of the changes for buy-to-let landlords made in the Summer Budget. The changes made by George Osborne have certainly set those in the buy-to-let industry talking with various influential figures commentating on the chancellors announced change to mortgage tax relief for landlords. The level of mortgage tax relief is set to be cut from 40/45 per cent to just 20 per cent in effort to make the housing market playing field a more level one for ordinary house buyers. This is a significant change for anyone investing or already invested in buy-to-let property. What the experts are saying The new rules have set experts tongues wagging with most agreeing that the main thing to do is to factor all extra costs in before making any new purchases. The other thing to always keep at the back of your mind when considering investing in a new buy-to-let property is that interest rates are sure to rise over the next five to ten years. Experts are also advising that costs involved in purchasing a buy-to-let property are now going to be more important than ever to any possible future profitability. Voids, repairs and insurance all need to be properly studied before purchasing now that mortgage tax relief has been slashed. The long term Your own level of risk must be managed before making any new buy-to-let investments and you’d be wise to seek a second considered opinion in some cases. Current landlords may also now consider hiking rents to help cover costs, this could have a double impact on Generation Rent. Overall, those entering the buy-to-let market should always be looking at the longer term for profits. Of course rental income and profiting from your asset are a big focus, but the longer term financial […]

Experience Invest interviewed by the Telegraph

Posted Posted in Experience Invest

Alastair Greener of the Telegraph recently caught up with two members of the Experience Invest team to interview them about property investment. The businesses Q & A featured Jerald Solis and Dale Anderson from the Experience Invest team, who were happy to give expert insight on why the UK is seen as property safe haven. As a tangible asset people enjoy investing in property as opposed to stocks and shares and despite some fluctuations in the property market in the past Jerald explains in the video interview that “the recent crisis has only helped to emphasise just how the UK property market has passed the test”. Dale Anderson explained that foreign investors see the UK property market as a “safe haven” for investment. The hottest areas of the property market Dale Anderson also discussed some of the hottest areas of the UK property market at the moment. These areas include Experience Invest specialities such as student accommodation, care home investments and residential investments. The two experts went onto explain the importance of due diligence when looking at property investment and explained the role that Experience Invest play in this. Exit strategy Property investment is always a long-term investment, but like all investments an exit strategy must be kept in mind. Jerald Solis explained to the Telegraph that part of Experiences Invests’ services involve ensuring that there is a long term demand for any property investment, and that this helps smooth out any fluctuations in the property market. The video itself can be seen below and covers the following subjects: • Why should anyone invest in property? • Should people be nervous of the property market? • What are the most common misconceptions about investing in property? • The hottest areas of the property market • Planning to invest in property […]

Pensioners focusing on property investment

Posted Posted in Experience Invest, property investment

The team at Experience Invest this week spotted new research by IP Global which revealed that since the advent of pension reforms 70 per cent of Britons have withdrawn all or part of their pension savings. It’s no surprise to our team that property investment is the most popular destination for this money. Investors see property as a more stable asset class than stocks or shares, they also anticipate a greater return than simply leaving the money in the bank. London and Manchester House prices in Manchester have risen 12 per cent over the last year as investors seek to pour money into this hotspot, London too is a popular choice for those looking to put money into the market. There is also some evidence that UK investors with equity from pension savings are looking abroad for property investment opportunities. Here at Experience Invest we’re convinced that there are still plenty of opportunities in the UK market, especially in growth areas like student accommodation and care home investments. Taking advice Those seeking to invest pension savings in property are wise to consider expert advice in the area. The team at Experience Invest are some of the most experienced in the industry and used to providing detailed advice for how to best maximise your investment. The Daily Mail reported that it expected around 50,000 people will become property investors now that new pension rules have come in. The UK offers a comparatively safe market for those looking to get into property for the long term, and if the recent past is any indicator property looks set to continue to show strong returns in the future. Experience Invest If you’re one of the estimated 50,000 people looking to put your money into property it would be beneficial to have an impartial chat […]

Since 1996 buy-to-let landlords have earned returns up to 1,400%

Posted Posted in Experience Invest

There was talk of buy-to-let landlords hitting the investment jackpot when a new figures were released recently that showed buy-to-let property has out-performed nearly every other type of investment since 1996, with some property owners seeing returns of up to 1,400%. On average every £1,000 invested in buy-to-let back in 1996 is now worth above £14,000. These figures come from economists at the Wriglesworth Consultancy and the team at Experience Invest can only agree with the findings. Seven times the return on cash Buy-to-let property investors have seen money invested in property return seven times more than cash invested in the bank. It’s no wonder that savvy investors are looking at the returns on property above any other investment class. The figures show that buy-to-let has not only provided very strong returns for average investors since 1996, but it has also allowed a group of organised and ambitious investors to become very wealthy. Taking advice Becoming a buy-to-let investor isn’t as easy as some people think and we’d always advise that some expert advice is taken before investing in bricks and mortar stock. Speaking to property experts like Experience Invest is the best way to make sure you’re getting the best advice. Investing in property takes more effort than simply putting money into a high interest account, there is research to be carried out as well the ability to keep a careful eye on the current market conditions. Mainstream investment Buy-to-let became a popular investment in 1996 when the Association of Residential Letting Agents and a group of mortgage lenders launched of the buy-to-let initiative. People looking at the market now may wonder what has changed since 1996 and what the new opportunities in property are. Here at Experience Invest we believe that new opportunities lay in products like student […]

Experience Invest

Student property portal launches

Posted Posted in Experience Invest, property investment

One of our specialities here at Experience Invest is student accommodation and we know that this property investment class is growing in popularity with our clients. That’s one of the reasons why this week we were interested to spot the launch of a new student property rental portal. Road 51 claims to be the ultimate online marketplace for quality student accommodation, it’s still very early days for the website which aims to be a hub for students looking for places to live while studying, but the website does have some great advantages of over similar property websites. International students Students travelling from overseas often have no prior contact with landlords in the cities they choose to study, until they actually arrive. Road 51 is a way for them to interact with landlords via the website and view available accommodation online. The website allows property management companies, sales agents and smaller landlords to advertise available properties to students all across the UK, as well as internationally. Recent studies have shown that international students often have different needs, and prefer to live off campus (some even bring families with them while they study). The website will allow those with properties available to access this market. Landlords extending their reach Road 51 is the first portal of this type in the UK and is the brainchild of founder and CEO, Bso Tsang, who was a former international student himself. Tsang said: “My experience as both a student landlord and letting agent made it clear that there was a need for a platform that would allow landlords like myself to access this valuable market. Our website provides a cost effective solution for landlords looking to extend their reach.” He added: “I hope that students will find our new website helpful in their search for […]

Experience Invest

Positive news from the House Price Index

Posted Posted in Experience Invest, property investment

Here at Experience Invest, we know that the housing market took another leap forward after the recent general election, but in this blogpost we want to look back a little to March 2015. The Office of National Statistics revealed its House Price Index from March 2015 which contained analysis of the UK housing market including house price inflation and distribution of mortgage advances. The report contains some really fascinating facts and figures for those considering the returns from property investment. It includes encouraging news for those looking at investments in London and beyond. Indeed, one of the most interesting statistics revealed that excluding London and the South East, UK house prices had increased by 8.1% in the 12 months to March 2015. House Prices rise across the country It wasn’t just England that saw house prices rise, according to the Office of National Statistics during the year to March 2015, average house prices increased 9.4% in England (up from 7.7 in the year to February 2015), 5.7% in Wales (up from 1.4%), 14.6% in Scotland (up from 5.3%) and 7.5% in Northern Ireland (down from 14.7%). The figures for Scotland showed the highest increase in Scottish house prices since way back in 2007. A large proportion of the sales of houses in Scotland focussed on properties priced over £500,000. However, it should be noted that the land and buildings transaction tax replaced UK stamp duty land tax in Scotland from 1 April 2015. This could have had a small impact on the market during this time and may have helped to increase prices. House Prices by region We all know that property demand in London and the South is high, however, the Office of National Statistics revealed a positive picture of a rising market across all the regions. Figures in the […]

Rental levels reach new record high

Posted Posted in Experience Invest, property investment

Hello, and welcome back to the Experience Invest blog, in this blogpost we’ll be writing about a recent report that suggests rent for newly let properties in the UK has reached an all-time high. The team at Experience Invest are experts on residential property investment and we weren’t surprised by the latest figures that reveal in August there was a month on month rent rise of 2.5%. This is according to the UKs largest letting agent Countrywide. These figures show that rental levels are at the highest since the index began. Annual Growth The South West saw annual growth in rent for new let properties at 7%, the Midlands saw growth at 6.3%. Annual growth was recorded in all regions bar London.  45% of tenant’s renewing tenancies found their rent increased in August. In London and the South East over half of those renewing tenancies found their rent had gone up. Rents are rising driven by a lack of available housing stock and increased demand from tenants. This borne out by the 8% drop in the number of homes advertised to let in August. With fewer options available, more and more tenants are choosing to renew their tenancies and stay in their current rental property. Average rental rise Most tenants renewing will find that their rental costs have increased by 2.5% on average. The South West and the Midlands saw rents rise faster than anywhere else in the country. Competition for properties is also driving rents higher. It’s estimated that there are now nine tenants registered for every home available to rent, up from 7.5 this time last year.  It seems that more and more tenants are renewing tenancies rather than move, a small rise in rent is preferable to moving out and entering a highly competitive market. Londoners leaving […]