Yorkshire to become property investment ‘honeypot’
While uncertainty lingers over much of the UK property market, London's house prices, for example, are falling at a pace not seen since 2009, according to the latest figures from Acadata and LSL Property Services, with September prices dropping by 2.7%.
At the same time, Hometrack data reveals that property turnover in the capital has plummeted by 17% since 2015.
Despite investors having their jitters about London, Yorkshire appears to be on the up.
Ray Withers, CEO of property Frontiers, said: "Steady, stable growth of this nature - in addition to the potential for decent rental yields - is precisely what investors are looking for from the UK property market right now.
“Property investment is about beating the Brexit uncertainty to find those pockets of the country where property markets are holding their nerve. That's why investors are turning to northern counties like Yorkshire."
Yorkshire is home to a number of bustling cities including Leeds, Sheffield, Bradford, Doncaster, Scarborough, Halifax and Wakefield, which all offer plentiful employment opportunities and a great location for professionals and families looking to enjoy the urban lifestyle.
Bradford is the fourth largest metropolitan district in the UK, with an economy worth more than £8.3 billion. Outside of London, it is the UK's fifth fastest growing city.
Investors are increasingly being drawn to its hotel sector, with developments such as Fabric, in the city centre, offering a low entry point (rooms from £65,000) and yields of 10% NET per annum for up to 10 years.
Bradford's economy is supporting exceptional 5% annual growth in hotel revenues.
Occupancy is on a gentle incline, while rates are steeply rising according to Armstrong Watson.
Meanwhile, other opportunities are available in Doncaster with one-bedroom apartments available from as little as £83,000.
Yields of 7% per annum are assured for five years in this popular, art deco style department store conversion.
Ray continued: "One of Yorkshire's attractions is the range of investments and locations that it offers.
“This is truly a county with a property to suit every budget - hence it's rapidly growing status as a top UK investment honeypot."
"Property Frontiers has been operating in Yorkshire for many years. Apartments at Hebble Wharf in Wakefield were particularly well received back in 2015 and highlighted the investment appetite for this part of the world.
“With Brexit creating uncertainty in London and the surrounding area, investors are increasingly looking to areas like Yorkshire for longer-term stability. As such, we expect investment in this county to continue to expand."
Published: 02 November 2017