All across the UK, property developments are springing up in both urban and greenbelt areas. The housing shortage that has been seen over the last decade has forced the government to take action that will increase the supply of affordable housing for young people in particular. The strategy has been twofold; regenerate urban areas, and create new developments outside of cities. While it can be seen that there is no shortage of inner-city property developments taking place, a lot of commentators have been critical that the resulting housing has not been on the affordable end of the scale.
This issue has not been more acute than in the city of London. Here the disparity between wages and property prices means that many people are priced out of the central market altogether. There is no shortage of demand for expensive flats and homes, however. The redevelopment of Battersea has shown that there is still an appetite for housing at any cost. The government has been taking measures to ensure that more young people are able to find their way onto the property ladder.
One of the more popular government-backed initiatives is the introduction of Help-To-Buy ISAs that reward first-time buyers for putting money away for a deposit. The government will match the money saved by as much as 25%, increasing the overall buying power of those who are in the market for a home. This has helped a lot of people gain a foothold and indeed buy their first home.
Other more out-of-the-box ideas have come to the forefront recently, with suggestions of using greenbelt areas as locations for so-called “millennial towns”. This is in a similar vein to the new towns that were built across Britain in the post-War era like Crawley, Milton Keynes, and Bracknell. This would obviously require huge investment, and the uncertainty around Brexit will curb these ambitions for the time being.
An Appetite for Investment
Despite the question marks that Brexit has thrown up around various aspects of the British economy, it is clear that investment in the property market is still solid. As many as 39% of property investors are making plans to increase their portfolios, showing the potential in areas such as Greater London, the North West and the Midlands.
Property funds are also showing signs of growth as investors are keen to see returns on this market. The experts have a track record of originating new investment strategies and deal structures ensuring that there is continued confidence in the property market despite the external political factors.
Looking to the Future
With all the recent developments in Westminster, you’d be forgiven for thinking that the outlook of the UK economy as a whole is bleak. The reality is that there is a huge demand for property across the country. Having the means invest in the industry that creates this property will ensure that you see a good return on your initial investment in the long term. Educating yourself on the nuances of the industry will help you to identify those key opportunities.