Wealthy investors 'to increase property portfolio'

Posted: 01 Dec 2009 10:47:10 GMT

Some 35 per cent of wealthy investors are hoping to increase their property portfolio over the next two years, a new report shows.

In comparison, 17 per cent plan to decrease their property allocation, according to research from Barclays Wealth and the Economist Intelligence Unit.

Richard Bowser, editor of Property Investor News, advises that high net worth individuals with cash to invest should put a proportion of their money into the UK property market.

However, he goes on to suggest that this is only if investors are taking a minimum five to seven year view.

Mr Bowser says: "Putting it in the bank at the moment is a virtually zero return."

Therefore he believes that the attractiveness of residential property as an asset is clearly evident for people taking a medium-term view, provided they are able to find the right property at the right time.

According to the most recent Land Registry figures, the average house price in England and Wales has fallen by 3.4 per cent in the past year.

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