Just three of the UK's 100 largest towns and cities are building enough houses to keep up with the rising population, according to government reports.
Between 2011 and 2016, the population of Britain's largest towns and cities grew by nearly 1.6 million people. In that same period only 405,000 new homes were built – one for every four new residents. The only town and cities in the UK where enough new houses were being built, to keep up with population growth were Blackburn, Scarborough and Blackpool.
The UK housing supply was at its worst in Belfast, where just 2,500 have been built, for 58,600 new inhabitants – that’s one for every 23 new residents. (Daily Mail, November 2017)
The issue of UK housing does present a problem to the UK government and it also presents an opportunity for investment in the buy-to-let sector. If we simply aren't building enough homes there is potentially more of a demand for rental property. Quality accommodation will be in demand and for this a credible landlord or investor may be able to charge a premium. As rents are not currently capped within the private rental market, it is an opportunity to offer a bespoke and luxurious rental space that can be priced accordingly.
If you would like to find out more about buy-to-let mortgages please don't hesitate to get in touch with us on 01302 244977.
The purpose of this blog is to provide technical and generic guidance and should not be interpreted as a personal recommendation or advice.Publish date: 27th March 2018