The UK has long been a honey pot for overseas investors looking for great returns on property and more – here’s why foreign investors should look to the UK.

The UK economy is one of the strongest in the world, and although the looming prospect of Brexit is predicted to shake things up, the country is still achieving new heights with 2019 marking a record-breaking wage growth and retains its status as the most popular European country for foreign investment, holding more than both France and Germany combined.

The UK has a steadily growing population; currently at just under 67 million, there has been a year on year increase since the last census in 2011, when the official number was estimated to be 63,182,000, and this means more and more residences are needed to accommodate a rise in new households.

The Housing Shortage

Despite the continuous population increase, there are quite simply not enough houses in the UK, and it is projected that over the next two decades, more than a quarter of a million new households will be formed every year. This means that around 250,000 new homes will need to become available to meet the growing demand, yet new housing is not keeping up…

There is also an overwhelming demand for rental houses, with a prediction that ⅕ of the population will be renting their home in the next five years, as buying properties has become more expensive and competitive. All in all, this is a tricky situation for the British government, but a fantastic opportunity for foreign investors.

Expect a High Yield

The UK is known for its high yielding property investment models. This means that having the money to invest in the UK property market, especially in major cities such as London, Manchester and Leeds, means you can be fairly certain you’ll get good returns on a buy-to-let property.

With the potential turbulence of Brexit lurking on the horizon, it’s understandable that some investors may want to wait out the storm. However, getting in now opens up the opportunity for price negotiation, enabling you to get a good deal on a buy-to-let property.

Due to the pre-financial crisis actions of British banks, who lent out huge amounts of money in the form of mortgages, an increase in population and demand, the value of the average UK property today is more than three times that of what it was in 1997. Ignore Brexit for one moment and recognise this phenomenal statistic.

The Bottom Line

Investing in a UK property can be daunting and downright confusing, but at the core of the property market sits one undeniable fact: people love the UK. It’s a safe and stable in terms of government, society and culture, and in the long term this consistency can weather any economic storm that Brexit throws up.

To ensure you get the best deal (and save yourself a lot of time), use a reputable property investment company when investing abroad. Choosing professional assistance gives you instant access to local knowledge and expertise, and gives you an overview of all your options according to your future plans and budget.