London’s housing market is notoriously fraught with difficulty. Despite steadily growing, the potential pitfalls are numerous, investing a gamble and getting on the ladder all but impossible.
Paul Mahoney, of leading property management firm Nova Financial, believes that to make solid money in 2017, you should look North.
“The Northern Powerhouse property markets are building momentum on an already strong past couple of years,” reveals the investor. “Cities such as Liverpool, Manchester & Birmingham have gained a lot of attention as previously London-focused property investors both domestically and from overseas are attracted by strong rental yields, affordable property prices and impressive economic drivers.
“Savvy investors that can borrow at low interest rates for the long term and invest in these up and coming cities have the potential to achieve returns of over 15% per annum on their cash invested -plus any potential capital growth,” Mahoney continues. “And each of these three cities have outperformed London in property price growth over the past twelve months – something which is expected to continue.
“There a few changes currently taking place in the buy to let world, so seeking advice on property selection and structuring has become increasingly important. But city centre apartments are the safest investment as they offer the most demand and lower vacancy rates due to close proximity to employment and facilities.
“With just £30,000 and a 75% mortgage, you can access quality properties that offer an ROI over 10% per annum plus potential growth.”