New UK Buy to Let Opportunities – Student Accommodation Investment
Student accommodation has been called “the best performing UK property investment sector”. In fact, in 2010 student accommodation investments surpassed most other property sectors in the UK. If you are seeking the right asset to balance your investment portfolio, choose a component that consistently performs. Student accommodation developments have a track record for maintaining 100 percent occupancy in the United Kingdom. This is unheard of in comparison to other property sectors.
One of the main factors why student accommodation investment perform so strong in regions like Liverpool is because of supply and demand. UK student populations are rising and are expected to rise higher in 2012.
Liverpool is one of the most established centers in the UK for higher education, home to a number of leading institutions including The University of Liverpool, Liverpool John Moores University, Liverpool Hope University and The Liverpool University of Performing Arts. The combined student population currently stands at 53,000, almost 12% of the city’s total population, with students from over 100 countries in the world enrolled.
Students are enrolling in university before a countrywide fee increase in late 2012 are applying for accommodation. These students realize how important it is to apply for a accommodation early if they want to secure a good quality room in time for the beginning of term. The application race has translated into profits for investors who own rooms in student accommodation developments or who buy UK buy to let properties in student districts. Between 2002 and 2008, the average increase of rents ranged between 5 and 6 percent. In 2010, rental income growth rose to 13 percent. This figure is only anticipated to increase as more than 700,000 students have applied for a place in UK universities for the 2011/2012 academic year. Developers assure an 11 percent net yield on rental income and almost a 200 percent return on investment within 10 years. If you are ready to make a wise investment, consider the benefits of investing in UK buy to let investments and specifically UK student developments and watch the profits roll in.
Filed under Blog by on Jul 30th, 2011. 
