UK Property Investors Remain Positive Despite Uncertainty

A majority of UK property professionals are set to expand their portfolios in 2019, remaining resilient despite a backdrop of uncertainty and squeeze on affordability.

We polled property professionals as part of our research into the future performance of the UK property sector. 80% of investors said they plan to increase their portfolios in 2019, while 20% said they are not making any changes to their portfolio in 2019. Nobody questioned planned to reduce their exposure to the UK property market this year.

 

Of the 80% looking to expand their portfolios, 39% are looking to buy in the South East of England. 25% said Wales, followed by 13% who said the Midlands. Whilst 16% revealed that would not be buying property in the UK.

No respondents said they were looking to buy in London, as investors look to broaden their portfolios outside of the more expensive Capital.

The latest forward-looking results are encouraging especially as 51% of respondents revealed they are uncertain of the conditions for property investors in 2019. 28% believe conditions will not improve in the coming year.

2018 was another challenging year for property investors in the UK, as Brexit negations continued and finances were squeezed by tax changes. When asked what the biggest challenge for property investors had been last year, the majority (40%) of respondents cited affordability. Ongoing Brexit uncertainty was the second biggest challenge at 32%, followed by accessing funding at 17%. Some 11% said Government legislation was the biggest challenge in 2018.

During 2018, 48 of the 101 respondents revealed they had purchased residential properties as investments and 43 respondents had bought commercial properties. 21 said they bought foreign properties as investments. Whilst the majority (50 respondents) said they didn’t purchase any property in 2018.

 

The UK property market has seen a reduction in high-value purchase transactions. This is reflected in the latest data from HMRC, who revealed stamp duty receipts fell by £1 billion last year.

The results from our Q4 Property Investor Survey highlight how higher stamp duty and a lack of affordability has pushed property investors out of London, where more rental properties are vital. While there is continuing uncertainty, particularly over how the Brexit negotiations will unfold, UK property investors remain resilient. The fact that property professionals have revealed they will continue to invest in the UK, despite the uncertainty and numerous challenges, bodes well for the future of the market.

To find out more, speak a member of our team on 0203 475 0176 or click here to fill out our quick enquiry form.

Council of Mortgage Lenders BTL Figures

Source: http://btl-propertyinvestorshow.blogspot.co.uk/

Joshua Elash a Director at MT Finance comments:

It is nice to see some positive data. 

The figures released by the Council of Mortgage Lenders provide direct evidence of the continued resurgence of the U.K’s property market fuelled in part by low interest rates and the impact of Government initiatives such as the Help To Buy lending scheme. 

With interest rates set to stay put to mid 2016 there will inevitably be further and increased interest in the Buy To Let sector as investors seek alternative means of generating returns. This market will be an exciting space in the coming months and we hope that higher lending levels continue. 

With house prices in July having exceeded their previous 2008 peak level there is some concern, however that unless supply levels can be increased another bubble may yet be laying in wait. Residential development needs to be encouraged at the local and national level. It would be equally beneficial to see an increase in liquidity in the development finance sector.

MT Finance (mtf)  is a Leading Bridging Finance Lender and winner of Best Bridging Finance Company at The Financial Report Awards 2013, Best Service From a Bridging Lender at The Bridging and Commercial Awards 2013.  

MT Finance Has Joined The ASTL

 

We are delighted to announce that we have joined the Association of Short Term Lenders.

Tomer Aboody head of business development stated; ‘We see the ASTL as having a significant role to play within the short term financing market in promoting greater transparency and client care.  These values run to the core of our business philosophy.  We are thus delighted to have joined the Association, and are looking forward to actively contributing’.

The role of the ASTL is to create a group of “appropriate” members, with common interests.

The Association collects and distributes industry statistics and data whilst enforcing and managing a code of conduct.  The Association also plays a role in handling external relations, and collaborating with the press and the regulators as a voice of the industry.  The Association is designed to give confidence to the public, businesses, the financial community and parties who transact with the members.

Seasons Greetings From MT Finance

Seasons Greetings From MT Finance

MERRY CHRISTMAS AND A HAPPY NEW YEAR 2011

As the Year draws to an end we wanted to thank you for your support in 2010.

As we continue to grow we look forward to developing our relationship with you further.

In any event, enough advertising bable for 2010.  It is time for the bubbly!

Seasons Greeting from all at MT Finance, may 2011 bring you great success!

August news from MT Finance

August saw the launch of our ‘Get Back to Basics’ nationwide advertising campaign.  The idea is simple and revolves around our commitment to transparent efficient bridging finance.

The mortgage market continues to be a difficult place in which to raise property finance.  From one end of the spectrum to another the major banks and lending institutions have regressively redefined ‘adverse credit’ in such broad terms so as to make it a challenge for the best of borrowers to arrange a mortgage quickly if at all. The goal posts keep shifting.

Back To Basics is a simple slogan which underpins our simple approach to bridging finance. No Nonsense. Non Status. Bridging Finance Loans.  At MT Finance we tell you straightaway what we can and cannot lend.  A simple, fast, and efficient way to quickly secure bridging finance.

 MT Finance – Commercial Property Finance Launched

Following the recent launch of new commercial bridging finance lending facilities we recently completed a bridging loan on a Hotel located in East Sussex which the borrower purchased at a discount to value with the intention of securing planning permission

Although our focus remains very much on residential property the expansion into lending over purely commercial assets represents a further commitment to providing the market with a genuine alternative.

For more information or a quote on a bridging finance loan to be secured over a commercial property contact us today.

MT Finance – Commitment To Non Status Lending – Case Fact

When we say we’re not status lenders we mean it.

We believe that what a borrower intends to do now and in the future is more important than the problems they may have had in the past.

A case in point from August is a 2nd charge bridging loan secured over a property in Central London involving  borrowers who had accrued arrears of 6 months on the principal mortgage.  The loan was approved and structured in such a way as to clear the existing arrears and to give the borrowers the time and space to get their finances in order.