A fifth of property sales purely investment

Posted: 22 Feb 2007 10:53:53 GMT

A fifth of home sales during 2007 will be made primarily as a long-term investment, buy-to-let mortgage specialist Birmingham Midshires has forecast

A fifth of home sales during 2007 will be made primarily as a long-term investment, buy-to-let mortgage specialist Birmingham Midshires has forecast.

Around 40 per cent of twenty-somethings and a quarter of lone-parents planning to buy property said that they were doing so purely as an investment.

"The buy-to-let market has grown consistently over the past decade," said Tim Hague of Birmingham Midshires.

"When you consider the returns available, in terms of both capital appreciation and rental yield, it's easy to understand why property investment continues to grow in popularity.

"A growing number of people see property as an important part of a balanced investment portfolio."

London and Northern Ireland remain the best areas of the UK for rental yields and capital growth, said the report.

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